Key Economic Indicators To Watch This Week: Bitcoin ETF Rally, Fed’s Beige Book, and More

Published October 21, 2024 6:16 AM

Edited by Insha Zia

ECB policymakers speeches and Fed's Beige Book are the most relevant economic events of the week while Bitcoin flirts with $70,000. l Credit: Spencer Platt/Getty Images

Key Takeaways

Multiple ECB and BoE officials will provide insights into monetary policy, offering clues about potential rate changes.
The Fed’s Beige Book will provide an overview of the U.S. economy.
Several major companies will report earnings, including GE Aerospace, Verizon, Tesla, and IBM.
Bitcoin briefly approached $70,000, driven by ETF inflows and optimism about U.S. regulations.

The financial world is gearing up for a busy week with pivotal events.

Central bank speeches, economic reports, and corporate earnings will take center stage, shaping market sentiment and potentially driving significant volatility.

Eyes will also turn on Bitcoin (BTC), the king of cryptocurrencies, as it flirts with the $70,000 level.

ECB And BoE Speeches

Several European Central Bank‘s Governing Council members will deliver speeches this week following their decision to cut interest rates by 0.25% last week.

Eyes On Fed’s Beige Book

On Wednesday, Oct. 23, the Federal Reserve‘s Beige Book will also be published.

The Fed’s Beige Book is a report published by the Federal Reserve eight times yearly.

It provides an overview of the U.S. economy based on anecdotal information gathered from various sources, including businesses, economists, and market experts. The report’s name derives from the color of its cover.

The report covers a range of economic indicators, including economic growth, labor market conditions, consumer spending, price levels, business investment, and the performance of both the manufacturing and service sectors.

It serves as a valuable tool for Federal Reserve officials in their decision-making process for monetary policy, providing context and additional insights to complement other economic data.

Typically released shortly before each Federal Open Market Committee (FOMC) meeting, the Beige Book is an important resource for economists, analysts, and the public. It presents a more nuanced view of the economy beyond traditional statistics.

Wall Street Earnings

The upcoming week will also be full of interesting earnings from Wall Street giants. While Monday is quite calm, GE Aerospace will take center stage on Tuesday, Oct. 22.

Analysts have a cautiously optimistic outlook, with a consensus estimate of $1.14 per share.

Verizon Communications will unveil its third-quarter results, highlighting its performance and strategic plans in the broadband sector. Analysts anticipate modest year-over-year earnings growth, with a projected figure of $1.18 per share.

As the week continues, Tesla will be under the microscope. After its Robotaxi event earlier in the month, investors are anxious to see if Tesla could turn sentiment around. Earnings expectations are set at $0.58 per share.

Expectations on Tesla — Analysts’ expectations on Tesla. l Credit: TipRanks

Analysts pointed to broader economic factors impacting consumer spending and automotive production, making the results even more critical for Tesla’s market position.

As the week rolls into Thursday, Oct. 24, IBM and T-Mobile will release their earnings. T-Mobile’s earnings estimate was pegged at $2.43 per share, which could set the tone for its competitive standing in the telecom space.

Meanwhile, IBM’s long-term transformation efforts will be scrutinized, with analysts eager to see how its investments in AI and cloud computing will manifest in its earnings.

Finally, on Friday, Oct. 25, companies like Aon and AutoNation will post their quarterly numbers.

Will Bitcoin Set A New Record?

Bitcoin briefly approached $70,000 on Monday, Oct. 21. A surge in inflows to Bitcoin exchange-traded funds (ETFs) and growing optimism about favorable U.S. regulations fueled the cryptocurrency’s ascent.

Bitcoin peaked at $68,720 before retracting slightly, trading nearly unchanged. Altcoins like Ethereum (ETH) and Solana (SOL) experienced minor fluctuations.

Over the past week, U.S. spot Bitcoin ETFs attracted approximately $2.4 billion in net inflows. This influx was partially driven by expectations of a more crypto-friendly regulatory environment following the Nov. 5 presidential election.

Bitcoin technical analysis — Bitcoin flirts with $70,000 level. l Credit: Giuseppe Fabio Ciccomascolo/InvestTech

Republican candidate Donald Trump‘s vocal support for cryptocurrencies has positioned Bitcoin as a “Trump trade.”

Conversely, Democratic rival Kamala Harris has pledged to establish a regulatory framework for the industry. This contrasts sharply with the Biden administration’s crackdown on the crypto sector.

Bitcoin’s price surged nearly 10% last week, buoyed by the ETF performance, marking its strongest weekly performance in months.

Similar ETF demand contributed to Bitcoin’s ascent toward its all-time high of $73,798 in March.

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About the Author

Giuseppe Ciccomascolo

Giuseppe Ciccomascolo began his career as an investigative journalist in Italy, where he contributed to both local and national newspapers, focusing on various financial sectors. Upon relocating to London, he worked as an analyst for Fitch's CapitalStructure and later as a Senior Reporter for Alliance News. In 2017, Giuseppe transitioned to covering cryptocurrency-related news, producing documentaries and articles on Bitcoin and other emerging digital currencies. He also played a pivotal role in establishing the academy for a cryptocurrency exchange website. Crypto remained his primary area of interest throughout his tenure as a writer for ThirdFloor.

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