Economic Data Overview

There are very few US data items that will be of particular interest to markets in the coming week. The release of earnings reports for the second quarter will get underway in earnest on Monday with numbers from Alcoa. That company data is expected after market hours. Second, the Fed will release the FOMC meeting minutes on Tuesday in advance of Fed Chairman Ben Bernanke's scheduled semi-annual monetary policy testimony before the House Financial Services Committee, which is due on Wednesday. It is presumed, but not yet announced, that the Chairman will be before the Senate Banking Committee on Thursday.

The two main data reports likely to define the July 11 week are those for June retail sales on Thursday and the Consumer Price Index on Friday. Any hint that consumer spending has picked up will benefit the outlook for the economy overall. Further confirmation of a moderation in consumer price increases will ease uncertainty in markets about whether the Fed was correct in its assessment of increases in headline inflation being transitory. The Fed will not have this...Read more