The week of July 29, 2024, will be a pivotal one for US July economic data, with several key reports and events on the calendar that could move financial markets.
The main focus will be on the Federal Reserve’s July 30-31 FOMC meeting statement release on Wednesday at 2:00 pm ET, which will provide insights into the central bank’s monetary policy stance and economic projections.
Other highlights of the economic calendar include:
Monday, July 29: Pending home sales for June
Tuesday, July 30: Personal income and spending data for June, along with the PCE price index, the Fed’s preferred inflation gauge
Wednesday, July 31: ADP employment report for July and the ISM manufacturing index
Thursday, August 1: Weekly jobless claims
Friday, August 2: The all-important July employment report, including nonfarm payrolls, the unemployment rate, and wage growth
Economists and investors will parse the data releases for signs of the economy’s health and direction. The GDP report on Thursday will show whether growth picked up in the second quarter after a sluggish start to the year.
Inflation readings, particularly the core PCE price index, will be scrutinized to see if price pressures are moving towards the Fed’s 2% target.
The FOMC meeting announcement and Fed Chair Jerome Powell’s press conference will be the main event. While no interest rate changes are expected at this meeting, the Fed’s statement and projections could provide clues about the likelihood of rate cuts later in the year if economic conditions deteriorate.
Market participants will also closely watch Friday’s jobs report for indications of labor market strength and wage inflation. Nonfarm payroll growth has slowed in recent months but remains solid, while the unemployment rate is at historically low levels.
The week ahead is packed with significant economic releases and events that will help shape the outlook for the US economy and monetary policy. Investors should stay tuned for potential market-moving surprises.
