A tumultuous week lies ahead, with global stock and commodity markets already reeling from Donald Trump’s trade war.

Crypto market sentiment is deep in bearish territory as the selloff accelerates, and this could well continue over the coming week as March inflation data is released in the United States.

Additionally, President Trump’s tariff policies are scheduled to take effect Wednesday, with China’s retaliatory measures following on Thursday.

Economic Events April 7 to 11

Responses to Trump’s reciprocal tariffs are likely to begin on Monday as nations across the globe figure out how to offset the impact. Fear is growing among Investors that Trump’s new tariffs would slow down US and global economic growth, and increase inflation.

The minutes of Federal Reserve’s March Federal Open Market Committee meeting will be released on Wednesday, giving possible insights into the central bank’s next move.

Thursday’s Consumer Price Index (CPI) report will also be closely eyed as investors gauge price pressures following the tariff announcements. Economists expect March inflation to remain unchanged after February’s steeper-than-expected decrease, but recession fears have been reignited.

Thursday will also see data on initial jobless claims released, shedding light on labor markets in the United States.

Key Events This Week:

1. “Reciprocal Tariff” Responses Likely Begin – Monday

2. Fed Meeting Minutes – Wednesday

3. March CPI Inflation data – Thursday

4. Initial Jobless Claims data – Thursday

5. March PPI Inflation data – Friday

6. Michigan Consumer Sentiment data – Friday…

— The Kobeissi Letter (@KobeissiLetter) April 6, 2025

Friday will see the Producer Price Index (PPI) report released, highlighting wholesale price trends that can ultimately affect consumer prices. Preliminary consumer sentiment data is also released Friday, and this includes consumer price expectations, an indicator of future inflation trends.

If global tariff tensions escalate or economic data disappoints, the selling pressure will likely continue throughout the week.

It is also a big week for bank first-quarter earnings, with JPMorgan Chase, Wells Fargo, Bank of New York Mellon, Morgan Stanley, and BlackRock slated to report quarterly results.

Crypto Markets Bleed

Crypto markets have seen one of the largest daily declines of the year, with a 9% slump in total capitalization. Around $250 billion has left the space in less than 24 hours, resulting in a fall to $2.5 trillion in total cap.

Bitcoin fell 8% to just over $74,000 in its largest dump since March 11. Momentum remains bearish, and further losses are more likely than gains in the current economic outlook.

Ethereum is at bear market lows, having fallen a whopping 18% to $1,450, its lowest level since October 2023.

The altcoins are a sea of red this morning, with double-digit losses for XRP, Solana, Dogecoin, Cardano, Chainlink, and Stellar as the crypto exodus continues.