While missile attacks between Israel and Iran continued last week, US President Donald Trump’s postponement of the decision to attack Iran and FED Governor Waller’s signal to cut interest rates in July provided short-term relief to the markets.
US stock markets started the week on an upswing, but then turned down again due to pressure from chip stocks. The S&P 500 fell 0.22%, while the Nasdaq fell 0.51%. Apple shares rose more than 2%, allowing the Dow Jones to close the day higher.
The main developments that markets will focus on in the new week are as follows:
Sunday
- 20:15 – San Francisco Fed President Mary Daly, who has a 2027 FOMC vote, will join the monetary policy panel at the 100th annual meeting of the Western Economic Association International.
Sundaytesi
- 17:00 – FED Board Member Michelle Bowman will speak on monetary policy and the banking sector.
Tuesday
- 16:15 – Cleveland Fed President Loretta Hammack, who has a 2026 FOMC vote, will speak on monetary policy.
- 17:00 – Fed Chair Jerome Powell will testify on the mid-year monetary policy report before the House Financial Services Committee.
- 8:10 PM – Chicago Fed President Austan Goolsbee, a 2025 FOMC voting member, will participate in a Q&A session at the Milwaukee Business Journal’s “2025 Midyear Outlook Conference.”
- 21:30 – Fed Governor Adriana Kugler and New York Fed President John Williams will host the “Fed Listening” event.
Wednesday
- 19:30 – New York FED President Williams will give a speech.
- 17:00 – Fed Chair Powell will testify before the Senate Committee on the mid-year monetary policy report.
Thursday
- 15:30 – Initial jobless claims for the week of June 21, 1st quarter GDP growth rate (final), real personal consumption expenditures, core personal consumption expenditures (PCE) price index and May durable goods orders data will be released in the US.
Friday
- 14:30 – New York Fed President Williams will chair the 24th annual meeting of the Bank for International Settlements (BIS).
- 15:30 – US core PCE price index, personal spending and monthly change in core PCE for May will be released.
- 16:15 – Cleveland Fed President Hammack and Fed Governor Lisa Cook will attend the “Fed Listens” event.
In the new week, geopolitical developments on the Iran-Israel line will continue to be the main agenda item in the markets. The statements of FED officials, led by Powell, who addressed the public after the interest rate decision may direct expectations for a rate cut.
While the independence of the FED has once again become a topic of discussion with Trump’s harsh criticism of the central bank, US PCE data and Eurozone PMI figures will reveal the effects of trade war-like tariff policies.
*This is not investment advice.
