A New Type of Research Offering
What’s in Today’s Report:
- A New Type of Research from Sevens Report – Introducing “Special Reports”
- Economic Takeaways – CPI and Empire State Manufacturing Tamp Down Dovish Policy Hopes
- Why September Rate Cut Odds Are Receding (Slightly)
Futures are little changed while there is a tentative bid in the bond market as investors continue to digest the June CPI release and look ahead to more earnings today.
Economically, U.K. CPI rose +0.2% to 3.6% y/y vs. (E) 3.4% which is bolstering the pound and weighing modestly on the dollar index this morning as well as capping a rebound in bonds.
Looking into today’s session, the second important inflation print of the week is due to be released before the bell with PPI (E: 0.2% m/m, 2.5% y/y), and Core PPI (E: 0.2% m/m, 2.7% y/y) scheduled for 8:30 a.m. ET while Industrial Production (E: 0.1%) will be released at 9:15 a.m. ET.
A busy week of Fed speak also continues with multiple officials delivering remarks today including Barkin (8:00 a.m. ET), Hammack (9:15 a.m. ET), and Barr (10:00 a.m. ET).
The market will be looking for any signs of “cooler” inflation or modest slowing in growth to rekindle September rate cut hopes which would offer fresh support for the equity market rally.
Finally, earnings season continues with multiple notable companies releasing quarter results today including ASML ($5.94), BAC ($0.86), GS ($9.43), MS ($1.93), JNJ ($2.66), PGR ($4.30), UAL ($3.86), and KMI ($0.28).
