This week, attention is focused on key US economic events, including the S&P Global Services PMI and other major macroeconomic indicators. These releases will provide insights into the nation's economic performance and influence various markets, including the cryptocurrency market.
S&P Global Services PMI
The S&P Global US Services PMI index tracks variables such as sales, employment, inventories, and prices across various sectors including transport, information, finance, insurance, and more. In December 2024, the index surged to 58.5 from 56.1, contrary to expectations for a drop to 55.7. The index will be released today. A higher-than-expected PMI signals economic strength, which could lead to tighter monetary policies, potentially applying pressure on crypto prices.
JOLTs Job Openings
The Job Openings and Labor Turnover Survey index evaluates the unfulfilled demand for labor in the US market. In September, the number dropped from 7.86 million to 7.37 million, then rebounded to 7.74 million in October. The data will be released today, with an expected drop to a range between 7.69 million to 7.65 million. A decrease in job openings may indicate economic cooling, which could reduce the risk of interest rate hikes, thus supporting the crypto market.
ADP Employment Change
The US ADP Employment Change index assesses non-farm private sector employment levels. It is jointly prepared by the ADP Research Institute and the Standard Digital Economy Lab. In October, the index increased from 159K to 184K, then declined to 146K. The index is set to be released on Wednesday, with expectations for a slip to a range of 143K to 140K. Lower employment growth could signal a slowing economy, potentially encouraging the Federal Reserve to maintain or ease monetary policies, which might boost crypto as a hedge against traditional market instability.
This week is pivotal for the US economy with major macroeconomic releases shaping market sentiment. Additionally, the release of the Fed meeting minutes and multiple Fed speaker events will provide further insights into monetary policy directions.
