US GDP set to show economic growth slowed in Q4 amid protracted shutdown

💡 DMK Insight

The upcoming GDP estimate is a big deal for traders, especially with market volatility in play. GDP figures can significantly impact forex and crypto markets, influencing everything from interest rates to investor sentiment. If the number comes in lower than expected, it could lead to a sell-off in risk assets, while a stronger-than-expected figure might boost the dollar and equities. Keep an eye on the reaction from major currency pairs like EUR/USD and USD/JPY, as they often respond sharply to economic data releases. Also, consider how this might ripple through to crypto markets, particularly Bitcoin, which often correlates with risk appetite. Here’s the kicker: if the GDP growth rate surprises, it could shift expectations for future Fed policy, affecting everything from bond yields to stock valuations. Watch for key levels in the dollar index and major pairs post-release, as they could set the tone for the rest of the trading week.