This week will be a busy week on the US economic calendar, especially the release of the highly anticipated gross domestic product (GDP) data, which has become the focus of investors and analysts. Amid the uncertainty of the global economy, these data are expected to reveal the current state and future trends of the US economy.
Among the many economic indicators, the Personal Consumption Expenditures (PCE) report is particularly critical because it is the main indicator used by the Federal Reserve to measure inflation. The results of the PCE report will directly affect the Federal Reserve's interest rate decision and monetary policy path.
In addition to the PCE report, a number of data related to consumer confidence and inflation expectations will be released this week. At the same time, these data are of great significance for understanding consumer behavior, predicting economic trends, and assessing inflationary pressures, and may have a significant impact on market sentiment and investment decisions.
This week's important economic events
This week, the United States will have a series of key economic data releases that will be critical for investors to understand the health of the U.S. economy.
On Tuesday, consumer confidence data will be released first, providing the market with an initial sign of consumer sentiment and economic recovery. However, the highlight of the week will be on Thursday, when the final annualized estimate of GDP growth in the first quarter of 2024 will be released. The previous second estimate showed economic growth slowing to an annualized 1.3%, and the market generally expects the final estimate to confirm this trend.
In a June 24th tweet, the Kobeissi Letter stressed that all eyes are on the GDP data, as recent data suggests we may be experiencing stagflation.
This Friday, May's core PCE data, the Federal Reserve's preferred inflation indicator, will be released and will be closely watched by investors and policymakers. Following the weaker-than-expected CPI data for May, the core PCE report will be closely watched to see if the deflationary trend continues.
On the same day, the May personal income and personal expenditure reports will also be released. These data will reflect the total personal income and consumer purchases in the United States, provide important information for the overall economic health, and may affect the central bank's decision-making. In addition, the Michigan Consumer Confidence Index and Consumer Inflation Expectations for June will also be released on Friday. These indicators will show the current level of consumer confidence and expectations for future inflation, and have a significant impact on consumer spending and the calculation of the Federal Reserve’s inflation expectations. having an impact.
In this busy week, the Federal Reserve will have 8 speakers, and their comments may have an impact on market sentiment, further increasing the importance of economic events this week. Investors need to pay close attention to these economic events, as they may not only affect the Fed's policy decisions, but also have a profound impact on risky assets, including the cryptocurrency market.
Cryptocurrency Market Outlook
The cryptocurrency market is facing a new round of volatility, with market uncertainty increasing due to a series of important economic data to be released soon. In the past 24 hours, the total market value of cryptocurrencies has experienced a 5% drop to $2.35 trillion, a six-week low. For the whole month, the market has evaporated about 11% of its value, equivalent to a $300 billion outflow.
Bitcoin, the market leader, also fell 4% to around $61,000, but it still remained above the key level of $61,300.
The situation was even more dire for Ethereum, whose price fell to $3,310 during Asian trading hours on Monday, its lowest in six weeks.
Additionally, the altcoin market was not immune, with tokens such as Solana, Dogecoin, Shiba Inu, and Avalanche suffering particularly significant losses, reaching their lowest levels of the year over the weekend.
Under the weight of economic data, the cryptocurrency market may continue to experience sharp fluctuations. Investors should remain cautious during this period and pay close attention to market dynamics and upcoming economic indicators in order to better prepare for possible market fluctuations. #GDP #美联储 #加密货币 #经济趋势
Conclusion:
The release of key U.S. economic data this week is an important moment for the cryptocurrency market and may determine its short-term direction. Final estimates of GDP growth, core PCE inflation indicators, and consumer confidence data will provide the market with deep insights into the state of the U.S. economy. The performance of these data will directly affect the Fed's policy expectations, which in turn will have a chain reaction on the cryptocurrency market.
Faced with market uncertainties, investors need to remain vigilant and be prepared to cope with possible market fluctuations. The prices of major cryptocurrencies such as Bitcoin and Ethereum have shown sensitivity to macroeconomic expectations, and the decline of altcoins has highlighted the volatility risk of the market. Investors should pay close attention to economic data and policy trends, make investment decisions prudently to cope with potential market fluctuations, and seek strategies to maintain stability in the ever-changing market.