The latest US economic data released are generally in line with expectations. As of the week ending January 17, the number of initial unemployment claims was 200,000, below the expected 210,000, and previous data was also slightly revised upward from 198,000 to 199,000 — the labor market still appears to be stable.

More notably, attention should be paid to GDP growth. The final value for the US real GDP annualized quarterly rate in Q3 came out at 4.4%, surpassing the expected 4.3%, with the previous value also at 4.3%. Economic resilience still persists.

However, there was no surprise on inflation. The core PCE price index annualized quarterly rate was finalized at 2.9%, in line with expectations, and the previous value was also 2.9%, indicating that inflationary pressures remain largely unchanged with no clear signs of decline. Overall, employment remains stable, growth is strong, but inflation remains sticky — this combination has profound implications for the Federal Reserve's policy space and will continue to influence the crypto markets.