🚀 With the employment data coming this week, the crypto market is keeping a close eye on the expectations of rate cuts!
📅 This week's economic events are as follows:
- Monday is a holiday in the United States, and the U.S. stock market is closed for one day on Labor Day.
- On Tuesday, we will see the August ISM Manufacturing PMI report, which is an important data for measuring the business conditions of the manufacturing industry.
- On Wednesday and Thursday, the Job Openings and Labor Turnover Survey (JOLTS) data, non-farm payrolls data, and initial unemployment claims data will be released one after another.
- On Friday, more employment data will be released, which are important references for the Federal Reserve to make decisions.
📊Last weekend, the cryptocurrency market weakened, with the total market value falling by $75 billion. As of Monday this week, the market continued to fall, with Bitcoin falling by more than 2%.
📊 Although the U.S. economic calendar this week is not long, the highlight is the employment data, which may have a significant impact on the crypto market. At the same time, crypto assets have been falling recently, in sharp contrast to the rise in the technology stock market.
📈 Last week's report showed that the economy remains stable, consumer spending is resilient, and inflation is slowly cooling. This makes many people feel that the Fed may ease monetary policy, and investors are also looking forward to the Fed's interest rate cut this month.
💼Last week, Fed Chairman Powell pointed out that the central bank is reluctant to see the labor market continue to cool, which makes the upcoming August non-farm payrolls data particularly critical. If the data is weak, it may increase the chances of a 50 basis point rate cut; if the data is strong, it may rule out the possibility of a large rate cut.
🗣️ In this regard, Investec economist Lottie Gosling said that although Powell did not specify whether there would be a 50 basis point rate cut in September, the significant deterioration in the labor market may prompt the Federal Open Market Committee to adopt a more active easing policy.
👉 In theory, if the Fed does cut interest rates in September, it will be good for cryptocurrencies. Therefore, this week's employment data may directly affect market volatility.
💬 What do you think of the impact of this week's employment data on the crypto market? Do you think the rate cut on September 18 will be the expected 50 basis points, or will there be more room for a rate cut?See you in the comments section!