Key Takeaways
- The Federal Reserve’s preferred inflation gauge, the personal consumption expenditures (PCE) index, is due to be released on Friday. The inflation data and other indicators will be closely watched this week amid expectations that continued signs of weak economic activity will prompt the Fed to cut interest rates.
- Investors will get greater insight into the artificial intelligence landscape as investor favorite Nvidia holds its shareholder meeting and Micron Technology reports earnings.
- Other notable earnings due this week include Nike, FedEx and Walgreens.
Market participants have been watching for further signs of weakening inflation in hopes that a continued decline in price pressures will prompt the Federal Reserve to cut interest rates. A key indicator will be released on Friday when the Fed’s preferred inflation gauge, the personal consumption expenditures (PCE) index, is released for May.
Investors can also get updates on the artificial intelligence market when Nvidia (NVDA) holds its annual shareholders meeting, Micron Technology (MU) reports earnings and Salesforce (CRM) holds its shareholders meeting.
Companies scheduled to report quarterly earnings this week include Nike (NKE), FedEx (FDX), Walgreens Boots Alliance (WBA), General Mills (GIS), and Levi Strauss (LEVI).
Monday, June 24
- Speech by San Francisco Federal Reserve Bank President Mary C. Daly
Tuesday, June 25
- S&P CoreLogic Case-Shiller Home Price Index (April)
- Consumer Confidence (June)
- Federal Reserve Board Governors Michelle Bowman and Lisa D. Cook deliver speeches
- FedEx (FDX) and Carnival (CCL) report earnings
Wednesday, June 26
- New Home Sales (May)
- Nvidia (NVDA) Annual Shareholders Meeting
- Micron Technology (MU), Paychex (PAYX), General Mills (GIS), Jefferies Financial Group (JEF), and Levi Strauss (LEVI) report earnings.
Thursday, June 27
- Unemployment claims (week ending June 22)
- Advanced International Trade in Goods (May)
- Wholesale inventory status (May)
- Advance retail inventory (May)
- Pending Home Sales (May)
- Durable Goods Orders (May)
- Gross Domestic Product – Third Revision (1st Quarter)
- Salesforce (CRM) Shareholders Meeting
- Nike (NKE), Walgreens Boots Alliance (WBA), and McCormick & Company (MKC) report earnings
Friday, June 28
- Personal Consumption Expenditures (PCE) Price Index (May)
- Consumer Sentiment (June)
- Chicago Business Barometer (June)
- Richmond Federal Reserve Bank President Tom Barkin gives a speech
Watch PCE for signs of improving inflation
Market participants will be closely watching several data releases this week to see whether they suggest a continued slowdown in economic activity and easing inflationary pressures.
Friday’s release of personal consumption expenditures (PCE) figures for May will be particularly closely watched as they are the Fed’s preferred inflation gauge. The central bank wants to see further signs that inflation is falling before cutting interest rates, which are at their highest in two decades.
The April PCE index showed prices rising 2.7% year-over-year, in line with expectations but above the Fed’s 2% target, followed by weak Consumer Price Index (CPI) inflation in May, raising hopes that inflation is continuing to subside.
The third revision of first-quarter gross domestic product (GDP) figures is due to be released on Thursday, with the latest showing economic growth revised down to 1.3 percent.
Nvidia shareholder meeting, Micron, FedEx and Nike earnings highlight corporate calendar
This week, investors will likely hear from several big names in the growing AI market.
Nvidia executives will host the chipmaker’s annual shareholder meeting on Wednesday, coming as the company’s market capitalization exceeds $3 trillion after its shares surged on interest in its AI products.
This week, market participants will hear from Micron Technology Inc. when it reports quarterly earnings on Wednesday after Bank of America upgraded the company on optimism about its AI products. AI is also likely to be a topic at Salesforce Inc.’s shareholder meeting on Thursday, after the software company posted weaker-than-expected second-quarter earnings guidance despite its focus on driving growth with AI products.
Shipping giant FedEx is set to report earnings on Tuesday after announcing a $5 billion share repurchase plan in its most recent quarterly report, and shoe maker Nike’s earnings report on Thursday follows a weak outlook for the previous quarter, even as the company prepares a marketing offensive for the upcoming Summer Olympics.
