With inflation steadily cooling, the Fed’s historic tightening campaign appears to be ending. The focus on Wall Street won’t just be inflation but now also economic activity.
The coming week will be full of economic data. Two regional Fed surveys will be released on Monday. Dallas Fed’s manufacturing activity report is expected remain in a negative zone, while the MNI-Chicago PMI should slightly improve. Tuesday is a busy day with the final manufacturing PMI, the ISM Manufacturing Report, and the JOLTS Job Openings. ADP will release its employment data on Wednesday, which should show a slowdown in hiring from 497,000 per month to 185,000. Initial jobless claims are due Thursday, as is the ISM Services Report. Friday will be all about the nonfarm payroll data for July, which is expected to show a decrease in hiring from 209,000 down to 185,000. The unemployment rate will remain at 3.6% while the average hourly earnings are expected to fall to 0.3%.
This week, earnings will be huge as we receive updates from Caterpillar Pfizer Uber JetBlue Humana Yum Brands Apple and Amazon.
Next week is off to a quick start with the eurozone’s flash HICP release shortly…