This week, investors are keeping an eye on key reports that could provide insight into the health and outlook for the U.S. economy.
The most anticipated will be the personal consumption expenditures (PCE) report, which serves as the Federal Reserve's preferred inflation gauge.
There are also reports of consumer sentiment and inflation expectations data that could shake up the market.
Economic events from June 24th to 28th
Consumer confidence data will be released on Tuesday, providing insight into sentiment and the state of the economic recovery, but the first big report will be on Thursday, and that will be GDP growth figures for the first quarter of 2024 (final estimates).
Second estimates showed economic growth slowing to an annualized 1.3 percent from 3.4 percent in the fourth quarter, and final estimates are expected to confirm these figures.
“Recent data suggests stagflation may be occurring, and attention is turning to GDP data,” macroeconomic media outlet Kobeisi Leter wrote in a June 24 post on X.
Friday, June 28th will be a busy day as investors and policymakers will be closely watching the release of the Core PCE for May. Following the weaker than expected CPI reading for May, the report will be watched for continued deflationary trends.
The Personal Income and Spending report for May is also due to be released on Friday. The data reflects Americans' personal incomes and total consumer purchases, providing important information about the overall health of the economy and could influence central bank decisions.
Finally, the Michigan Consumer Sentiment Index for June and Consumer Inflation Expectations are also due to be released on Friday. These reports provide insight into consumer confidence levels and longer-term inflation expectations, which influence consumer spending and are also factored into the Fed's calculation of inflation expectations.
There are a total of eight Fed speaking events this week.
Cryptocurrency Market Outlook
A plethora of economic data is scheduled to be released this week, which could lead to increased volatility for risk-on assets such as cryptocurrencies.
Market capitalization fell another 5% in the past 24 hours to a six-week low of $2.35 trillion. The market has fallen 11% so far this month, with about $300 billion withdrawn.
Bitcoin fell 4% towards the $61,000 mark but remains above that level, trading at $61,300 at the time of writing.
Ethereum was even harder hit, falling to a six-week low of $3,310 in Asian markets on Monday.
Altcoins continued to fall, with Solana (SOL), Dogecoin (DOGE), Shiba Inu (SHIB), and Avalanche (AVAX) all suffering deeper losses as they plummeted to their lowest levels this year over the weekend.
