Will these key economic events shake the market this week or fuel it?
Next week's key economic events include inflation, oil and labor market data. All of these are sensitive, and we can expect them to have a significant impact on the cryptocurrency market. Let's try to better understand the American economic situation.
Overview of next week's key economic events
Inflation data
The NY Fed will release consumer inflation expectations data for November today, December 9, 2024. The October figure stood at 2.9%, the lowest since October 2020, after more than four consecutive months of 3%. For November, Trading Economics predicts that the index will return to 3.0%.
November's US Consumer Price Index will be released on Wednesday, December 11. October's CPI rose to 315.644 from 315.3 in September. The November forecast was unchanged at 315.3 points.
The November US PMI is scheduled to be released one day after the release of the US CPI (December 12). The index rose to 145.615 points in October, an all-time high, from 145.329 in September. For November, experts predict a further increase to 146 points.
Higher CPI and PPI figures may indicate continued inflation, which could lead to possible rate hikes by the Federal Reserve. Tighter monetary policies reduce liquidity, often negatively impacting cryptos.
Fuel market trends
OPEC's monthly oil market report will be released on Wednesday, December 11. Provides insights into global oil market trends. Oil prices often affect global energy costs and investor sentiment, so understanding oil trends is important.
A glut in the oil market from OPEC's report could lead to higher energy costs, affecting cryptos' mining operations.
Jobless claims and labor market trends
The first unemployment data for the first week of December will be released on Thursday, December 12. The index rose to 224,000 on November 30 from 213,000 on November 23. For December 7, the consensus is 221,000, the TE forecast is 225,000.
An increase in jobless claims could signal economic distress, which could lead more investors to cryptocurrencies.
Import/Export Price
November import and export data will be released on Friday, December 13. In October, the export index showed an increase of 0.8%, better than the market expectations of a decrease of 0.1%. For November, forecasts range from -0.3% to +0.9%. The import index rose 0.3% in October after a 0.4% decline in September. November forecasts range from -0.3% to +0.2%.
Strong export price growth indicates a strong economy, possibly reducing crypto's appeal. On the other hand, imported prices can lead to higher inflation, increasing the demand for cryptocurrencies.
In conclusion, next week's economic data will play a crucial role in shaping the direction of the crypto market.
