The U.S. Producer Price Index (PPI) for August, which measures changes in the prices received by producers for goods and services, registered a 2.6% increase, below the 3.3% forecast.

Furthermore, the monthly PPI, which was projected at 0.3%, fell to -0.1%, signaling a slowdown in production cost inflation. Last month, the index reached 0.7%, revealing the magnitude of this change.

This result boosted the price of Bitcoin, which surpassed $114,000. The drop in the PPI suggests that producer inflation is declining faster than expected, increasing the likelihood that the Federal Reserve (Fed) will cut interest rates at its meeting next week.

A cut in interest rates reduces the cost of borrowing. This encourages investors to allocate capital to riskier assets, such as Bitcoin, other cryptocurrencies, and stocks, which increases demand and, consequently, the price of the cryptocurrency.

Meanwhile, the Consumer Price Index (CPI), which measures the change in prices for goods and services from a consumer perspective, will be released tomorrow. This index is expected to remain at 3.1%, a key figure that could influence the Fed's decisions and market behavior.