The cryptocurrency market has recently achieved a remarkable milestone, exceeding a valuation of $3.4 trillion. This surge has been largely driven by altcoins, which have outperformed Bitcoin, marking a pivotal moment in the crypto sphere. As investors turn their gaze towards upcoming economic data from the United States, the impact of these reports on the crypto market is a subject of intense speculation. Factors such as US job statistics, unemployment claims, and manufacturing data are anticipated to sway market sentiment, potentially influencing the value of both Bitcoin and altcoins.
Key US Economic Events for This Week
After a notable boost in the crypto market last week, attributed to Donald Trump’s appointment of hedge fund expert Scott Bessent as Treasury Secretary, market participants are now focused on upcoming US economic data. These reports could provide further insights into the trajectory of the crypto market.
Dec 2: ISM Manufacturing PMI Report
On December 2, the Institute for Supply Management (ISM) will release its Manufacturing Purchasing Managers’ Index (PMI) for November. This report is crucial for understanding the health of the U.S. manufacturing sector and the broader economic landscape. The data follows weak economic indicators from the Eurozone, where the Euro plummeted to a 23-month low of $1.0336. A projected slight increase in the ISM index from 46.5 to 47.5 could lead to a depreciation of the US dollar, potentially making cryptocurrencies like Bitcoin more attractive to investors.
Dec 3: JOLTS Job Openings
The Job Openings and Labor Turnover Survey (JOLTS) report, scheduled for release on December 3, will provide insights into the US labor market dynamics for October. While job openings have shown a downward trend since March 2022, there was a brief increase to 8.4 million in August, followed by a drop to 7.44 million in September. October’s forecast suggests a marginal rise to 7.49 million. These labor market trends are pivotal in influencing Federal Reserve policy decisions.
Dec 4: National Employment Report
The ADP National Employment Report, coming out on December 4, will shed light on job growth in both private and public sectors for November. October’s report was a surprise, with only 12,000 jobs added, far below market expectations. Despite the slowdown in hiring, September witnessed an addition of 233,000 jobs. Weak data from earlier months has heightened expectations for a potential Federal Reserve rate cut, drawing significant attention to this week’s employment figures.
Dec 5: Jobless Claims Report
On December 5, the jobless claims report will offer new perspectives on the US labor market’s health. The previous week’s claims were recorded at 213,000, with a slight increase to 215,000 anticipated. While initial claims have decreased, an increase in continuing claims suggests that although employers are retaining workers, those who are laid off face challenges in securing new employment.
Dec 6: US Employment Report
The highlight of the week will be the US employment report for November, released on December 6. It’s expected to show the creation of over 250,000 new jobs, reflecting the return of Boeing workers and recovery efforts from Hurricane Milton. This data follows weaker Personal Consumption Expenditures (PCE) numbers, which have fueled speculation of a possible Federal Reserve rate cut ahead of its December 18 meeting.
Additionally, December 6 will also feature the preliminary Michigan Consumer Sentiment Index and Inflation Expectations for December, providing a snapshot of consumer confidence and long-term inflation views, both of which are critical for economic planning and investment strategies.
