Crypto Market Eyes US Job Data But JPMorgan Focuses on CPI for Fed Rate Hike Decision

The crypto market has retreated today, indicating that investors are treading cautiously ahead of the major economic data releases in the coming days. For context, US job data is scheduled this week, followed by the US CPI and PPI inflation data next week, which might provide insights on the potential Fed rate move ahead.

Notably, JPMorgan said that while US nonfarm payroll data will play a key role, the US CPI will further cement bets on the next move of the central bank. With the Fed rate hike fears looming, the broader financial market is eagerly waiting for the upcoming release for further insights.

Crypto Market US Job Data, Here’s What to Expect

According to market commentator Walter Bloomberg, JPMorgan sees monthly US job creation between 30,000 and 70,000 as the “sweet spot” for the upcoming payrolls data. The bank’s forecast has caught the crypto market attention, as investors are currently trying to navigate between a cooling labor market and persistent inflation risks.

Meanwhile, if hiring comes in significantly stronger than that range, markets could interpret the data as a sign that the US economy remains resilient despite higher inflation. Higher employment could support consumer spending and potentially add to inflationary pressures, pushing Treasury yields higher.