This week’s economic and corporate calendar is filled with crucial events that could significantly impact the market. The Federal Reserve's decision on interest rates, July's jobs figures, important tariff deadlines, new inflation data, and big tech earnings reports are among the highlights.
Investors will closely follow new trade deals prior to Friday's tariff deadline for several significant U.S. trading partners. Although the Federal Reserve is not expected to change interest rates on Wednesday, forthcoming US employment and inflation statistics may hint at possible rate adjustments in upcoming Fed meetings.
Several leading companies, including Microsoft, Meta Platforms, Apple, and Amazon, are slated to release their earnings reports for this week. Key finance, healthcare, and cryptocurrency firms are also set to make their reports.
Last week ended positively for stocks, with the S&P 500 and Nasdaq Composite closing at record highs on Friday. The countdown to the August 1 tariff deadline set by President Trump is on, with negotiations ongoing with major U.S. trading partners such as the European Union, Canada, and Mexico.
Meetings will need to be held to avoid the susceptibility of these nations to tariffs of 30% or more. Ahead of an extended August 12 deadline, U.S negotiators also have to deal with China. Trump continues to push the Federal Reserve ahead of its next interest-rate decision on Wednesday, with expectations leaning towards maintaining current rates.
On Thursday, the personal consumption expenditures index will reflect whether inflation in June stayed above the Fed’s target. The employment report for July is due on Friday, with a robust job market being a significant determinant for maintaining high rates according to the Fed.
Analysts will also have the opportunity to take the first glimpse at the gross domestic product for the second quarter following a slight contraction of the economy in the first quarter. The earning's calendar for this week features more than half of the "Magnificent Seven", including major players in healthcare, automobile, financial, and cryptocurrency sectors.