Why Is Crypto Crying Again? The Week That Jobs and Inflation Broke the Internet

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So, this week everybody’s obsessing over jobs data like it’s the latest episode of a soap opera. You’d think the fate of humanity depends on whether some guy got hired at a coffee shop in Dayton, Ohio. Spoiler alert: it doesn’t. But hey, gotta keep busy, right?

Last week, we got the July PCE inflation report, which-surprise, surprise-did exactly what economists predicted. Inflation ticked up a tiny bit. Shocking! Meanwhile, GDP growth was bumped up from 3% to 3.3%. Big whoop. The economy’s chugging along like your uncle’s ancient car that somehow still runs.

Then, President Trump strolls in on Sunday like a game show host, saying “prices are way down in the USA, with virtually no inflation.” Meanwhile, you and I are standing in the grocery store wondering if we need to take out a second mortgage to buy milk. Maybe he shops at a different store. Probably the one in Narnia.

At the same time, The Kobeissi Letter drops the bomb that “US cost of living is getting worse.” Yeah, no kidding. People are taking on sketchy debt like it’s a Black Friday sale on payday loans. What could possibly go wrong?

Economic Events September 1 to 5

Get this – TradFi markets close on Monday for Labor Day. Perfect timing, because the rest of the week is all about labor. It’s like the universe said, “Let’s give Wall Street the day off to pity itself.”

Tuesday, we get the August ISM Manufacturing PMI, which sounds fancy, but basically it tells you if the factories are making more or less stuff. If you don’t care, that’s fine; apparently some people still do.

Then comes Wednesday and Thursday-boom-jobs data overload: July JOLTS, August ADP, initial jobless claims… It’s like your ex calling every day asking how you’re doing, except this time it’s Uncle Sam reminding you the economy’s fragile.

Thursday also brings the ISM Services PMI, because businesses that don’t build stuff don’t want to feel left out. They get their own report. Everybody gets a trophy.

Friday? The big Kahuna: the August jobs report. The cherry on this exhausting sundae of labor stats. Don’t make plans, or do-because you’re probably just gonna be refreshing your phone all day anyway.

Key Events This Week:

1. US Markets Closed, Labor Day – Monday

2. August ISM Manufacturing PMI – Tuesday

3. July JOLTS Jobs data – Wednesday

4. August ADP Nonfarm Employment – Thursday

5. Initial Jobless Claims – Thursday

6. August Jobs Report – Friday

It’s basically a full employment day for data. Yay. 🙃

– The Kobeissi Letter (@KobeissiLetter) August 31, 2025

Oh, and earnings season packed up its bags last week-Nvidia decided to throw a party on Friday by selling off. Because why not?

Crypto Market Outlook

Surprise, surprise-crypto markets are in the red again. If Monday mornings were a crypto coin, this would be its value. Markets dropped almost 2%, down to $3.80 trillion. Try to contain your excitement.

Bitcoin’s been leading the pity party, plunging to its lowest since early July. It dipped below $107,500 during Asian trading Monday. I mean, it’s a “deep correction” or something fancy like that-down 13% from mid-August peaks. Like the financial equivalent of a hangover.

Ethereum’s hanging out with the losers club too-down past $4,400 but still playing it cool inside its three-week “please don’t panic” channel.

Altcoins? They’re drowning in a sea of red. XRP, Solana, Dogecoin, Cardano, Chainlink, Sui-you name it. The so-called “altseason” got rescheduled indefinitely. Again.

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2025-09-01 08:14