As we enter the Christmas week, the trading market is experiencing significant changes. The US stock market will close early on Wednesday, and will be closed all day on Thursday for Christmas. The Hong Kong Stock Exchange will also have a half-day trading session on Wednesday, which means that liquidity will noticeably decrease.

The market's focus is on one question: Will Trump announce the new Federal Reserve chair candidate before the Christmas holiday? Currently, among the competitors, Kevin Hasset, the director of the National Economic Council, is far ahead with a nomination probability of about 54%, well above former Federal Reserve governor Kevin Warsh's 21% and Federal Reserve governor Christopher Waller's 14%. This personnel change has a direct impact on the liquidity and risk appetite of the crypto market.

Next week’s macroeconomic data is also important. On Tuesday, the U.S. will release the preliminary annualized quarter-on-quarter GDP for the third quarter, the preliminary quarter-on-quarter personal consumption expenditures, and the preliminary core PCE price index. These three data points will directly impact the market's expectations for an economic soft landing. On Wednesday, the Bank of Canada will publish the monetary policy meeting minutes, and U.S. initial jobless claims will also be released. On Thursday, Bank of Japan Governor Kazuo Ueda will deliver a speech, followed by the announcement of Japan's unemployment rate data for November.

Multiple factors are overlapping, and market volatility next week is worth paying attention to. It is best to prepare for risk management in advance.