Three Things to Know & Watch

Jul 8, 2024

By Bill Hornbarger, Chief Investment Officer
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Three Things to Watch

  • The June Consumer Price Index (CPI) will be released on Thursday. Overall CPI is expected to come in a bit lower at 3.1% year over year, while core CPI is expected steady at 3.4%. Still-strong trends in shelter costs are partially offset by lower energy prices and expected smaller gains in food prices. That follows last week’s softer employment report that saw a slightly more dovish tilt to monetary policy expectations. Consensus CPI should do little to change the forecast for one to two rate cuts for the balance of this year.
  • U.S. Federal Reserve (Fed) Chairman Jerome Powell will give his semiannual testimony on the economy and monetary policy to Congress starting with the Senate Banking Committee on Tuesday and the House Financial Services Committee on Wednesday. Expect him to say progress on inflation has been and is being made, but the Fed remains patient in terms of cutting rates to ensure it doesn’t reignite.
  • Second-quarter earnings season starts this week with Delta Airlines, PepsiCo and the major banks, including Citigroup, JPMorgan Chase and Wells Fargo all on the tapes.

Three Things to Know

  • June was the first month since October 2020 with no global central bank hikes. (Source: The Market Ear)
  • In 1998, Google’s founders got their first investment: a $100,000 check. It took some time to deposit because they had not yet set up a bank account. To celebrate, they had breakfast at Burger King. Today Alphabet’s market cap is $2,363.7 billion. (Source: @JonErlichman)
  • “Breaking Bad” was ranked the best TV show of all time using the average rating across 12 different services, followed by “Game of Thrones,” “Chernobyl,” “The Sopranos” and “Band of Brothers” rounding out the top five. (Source: @NikMilanovic)

 

The above information reflects the current opinion of the author. It is based upon sources and data believed to be accurate and reliable. Opinions and forward-looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security mentioned.