[ad_1]
© Reuters. File photo: April 4, 2020, north of St. Louis, Missouri, USA. Shoppers wear masks to shop in a supermarket to help slow the spread of coronavirus disease (COVID-19). REUTERS/Lawrence Bryant
Looking to the day ahead from Saikat Chatterjee
The market is waiting for one of the most important US data this year-June inflation data. Opinion polls show that the annual growth rate may be 4.9%, but after two consecutive months of stronger than expected, the risk may be high. Analysts believe that any price above 5.5% may trigger a market sell-off.
Investors will remember that after the recent unexpected upside, the Fed turned hawkish at its June policy meeting. But so far, the market trend has not shown too much anxiety-the MSCI global stock index hit a record high earlier, while the European and US stock index futures were flat or strong.
The data from China is gratifying, export growth has accelerated to 32.2% year-on-year. Although import growth slowed, it also exceeded expectations.
The US second quarter earnings report also officially began later in the day, with JPMorgan Chase (NYSE:) and Goldman Sachs (NYSE:) taking the lead in releasing reports. Refinitiv’s IBES data shows that although the company’s earnings per share are expected to grow by 66%, investors will pay attention to rising margin pressures brought about by rising input costs.
In corporate news, Swiss watch manufacturer Swatch will return to profitability in the first six months of 2021, with sales increasing by more than 50%, while Danish drugmaker Novo Nordisk (NYSE:) will acquire American Drug Development Prothena’s cardiac therapy drug PRX004 has a transaction value of up to 1.23 billion US dollars.
Finally, with the new COVID-19 craze behind the scenes, France has pledged to impose stricter restrictions on those who have not been vaccinated.
Chart: U.S. Inflation-https://fingfx.thomsonreuters.com/gfx/mkt/jbyvrzaewve/inflation.PNG
the day before:
-US June inflation data will be released at 1230 GMT.
-Bond auction: US 12 months and 30 years; Japan 20 years; Germany 2 years
-Fed events: Atlanta Fed President Rafael Bostic, Boston Fed President Eric Rosengren
-US earnings: Pepsi, JPMorgan Chase, Goldman Sachs
-European revenue: DNB, Nordic Semiconductor
-The Bank of England lifted the restrictions on HSBC’s dividends during the pandemic, Barclays (LON:) and other top lenders
-Alibaba Group and Chinese government-backed companies are exploring the acquisition of shares in cloud computing infrastructure company Ziguang for up to 7.7 billion U.S. dollars
Converged Media Fusion Media or anyone related to Fusion Media will not be liable for any loss or damage caused by relying on the data, quotations, charts, and buy/sell signals contained in this website. Please fully understand the risks and costs associated with financial market transactions. This is one of the most risky forms of investment.
[ad_2]
Source link
