It’s Bitcoin Monday, with the cyber currency dominating news coverage as it begins trading today on a major exchange for the first time, Prudential’s Chief Market Strategist Quincy Krosby said Monday in her weekly “Connecting the Dots” outlook.
Bitcoin’s debut on the CBOE, or the Chicago Board Options Exchange, means the entire class of cyber currencies will monopolize headlines, Krosby said.
“Make no mistake about it, the airwaves are filled with bitcoin, bitcoin, bitcoin,” she said.
Other news and important events include key inflation-related data and the Federal Reserve’s meeting, at which it is expected that the Federal Open Market Committee (FOMC) will raise rates.
This would be the fifth rate hike since the financial crisis as the Fed has maintained a “gradual” pace towards interest rate normalization, and in an environment in which inflation remains stubbornly below the 2 percent rate the Fed views as its key level, she said.
And, this is Janet Yellen’s final press conference as Fed chair.
Also this week, the tax reconciliation process between the House of Representatives and the Senate remains in focus as investors and traders monitor which provisions central to specific sectors remain in the final code.
“There were reports over the weekend that they don’t expect that to happen before the Christmas recess, but nonetheless, the president is pushing them to get it out and signed before the new year,” she said.
This week’s data releases:
- Monday: JOLTS (Job Openings and Labor Turnover Survey) report
- Tuesday: NFIB (National Federation of Independent Business) small business optimism index; PPI (producer price index)
- Wednesday: CPI (consumer price index); FOMC meeting announcement and press conference
- Thursday: Retail sales
- Friday: Industrial production
Read Quincy Krosby’s full Q4 Market Commentary: The End Game.
The views and opinions are those of the author at the time of publication and are subject to change at any time due to market or economic conditions. This is solely for informational purposes. This is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy.