U.S. Economic Data Released: Job Market Resilient, Economic Growth Exceeds Expectations

Recent U.S. economic data once again highlights the resilience of the economy. Here are the key data points and market interpretations:

1️⃣ Initial Jobless Claims Better Than Expected

• Data Performance: For the week ending December 14, initial jobless claims were 220,000, lower than the expected 230,000 and below the previous value of 242,000.

• Interpretation: This data indicates that the U.S. job market remains strong, with robust labor demand, and the economy has not significantly cooled due to interest rate hikes. This may also support the Federal Reserve in maintaining a hawkish stance.

2️⃣ Third Quarter GDP Significantly Revised Upwards

• Data Performance: The final annualized quarterly rate of real GDP for the third quarter was 3.1%, higher than the expected 2.8%, with the previous value also at 2.8%.

• Interpretation: The GDP revision reflects the resilience of U.S. economic growth, primarily driven by strong consumer spending and investment. The better-than-expected economic performance may prompt the market to pay more attention to the Federal Reserve's policies in 2024, with potential slowing of interest rate cuts.

Market Impact and Outlook

1️⃣ On the U.S. Dollar

Better-than-expected economic data may boost the U.S. Dollar Index, as market expectations for further tightening of Federal Reserve policies or delayed interest rate cuts heat up.

2️⃣ On the Cryptocurrency Market

Strong employment and economic growth may exacerbate market concerns about liquidity tightening, potentially putting pressure on the cryptocurrency market in the short term.

3️⃣ On the Stock Market

Economic growth exceeding expectations is a short-term positive for the stock market, but strong employment data may limit the market's hopes for easing policies.

Summary:

U.S. economic data shows strong performance, highlighting the resilience of the economic recovery, but this also means the Federal Reserve may need a longer time to observe economic conditions before adjusting policies. Investors should pay attention to upcoming economic indicators and Federal Reserve decision-making trends.