This week brought sharp moves across crypto and traditional markets as macroeconomic data weakened, speculation around Trump’s proposed $5 trillion stimulus bill heated up, and key technical levels were challenged across the board.

From ETF flows to liquidation clusters, markets remain highly reactive, and the setup for the weekend is anything but quiet.

Here's what you need to know heading into the weekend:

Let’s dive in!

U.S. economic data has softened meaningfully in recent weeks. The U.S. Economic Surprise Index has turned negative, indicating that macroeconomic releases are consistently underperforming expectations. At the same time, Treasury yields have declined, with the 10-year yield retreating from recent highs as growth and inflation expectations moderate.

This shift in data has reopened the door to potential monetary easing. While a rate cut is not yet fully priced in for September, weakening labor market indicators have increased the market-implied probability of a dovish pivot.

The Fed's September meeting now carries increased uncertainty. Following the June jobs report, futures markets fully priced in a cut, but those odds have since moderated. Recent Fedspeak remains cautious, with policymakers emphasizing a data-dependent and gradualist approach.