US Focuses On Inflation Data And Existing Home Sales
Danske Markets | Jul 22, 2014 04:40AM ET
EU foreign ministers are meeting today to decide on further sanctions against Russia following the MH17 crash. In particular UK’s Cameron is pushing for additional sanctions. However, the ministers that are meeting today cannot approve ‘phase three’ sanctions, which include targeting entire sectors of the Russian economy. Such a move needs backing from the heads of state and government. Cameron and other hardliners are pushing for the foreign ministers to lay the groundwork, see more below and in Financial Times.
In the US focus is on inflation data and existing home sales. Core CPI has been edging upwards recently. We are expecting an increase of 0.2% m/m and 2.0% y/y, in line with consensus. Fed’s preferred inflation gauge, the core PCE, is also edging upwards although the level is still somewhat lower currently at 1.5% y/y. The lower level stems mainly from a lower weight on housing. With the US labour market strengthening, inflation data are set to have a bigger market interest and impact during H2.
Earnings season is peaking this week and Coca-Cola, Apple and Microsoft will report today. Both sales and earnings have in general been coming in a tad better than expected by analysts. This is supporting US equities that are hovering around an all-time high, despite the geopolitical tensions.
To Read the Entire Report Please Click on the pdf File Below
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.