The Federal Reserve’s rate cut narrative just took a blowtorch to the face. April’s Producer Price Index surged 1.4% month-over-month, nearly triple what economists had penciled in, and the entire risk asset complex flinched.

Bitcoin slipped below $80K on the news. Ethereum fell near $2,250. Solana dropped to around $91. XRP, the stoic one in the group, held relatively flat near $1.42.

The numbers that changed the conversation

Here’s the thing about producer prices: they measure what businesses pay before those costs trickle down to consumers. Think of PPI as inflation’s opening act. When it spikes, the headliner, consumer prices, usually follows.

The annual PPI rate hit 6%, the largest jump since December…