Stocks had a losing week, last week, amid renewed worries that the Federal Reserve may raise rates more than previously expected - the Dow Jones was lower by 0.8%, the S&P 500 dropped 1.3% and the Nasdaq was down 1.9%. Strong economic data has reignited interest rate hike fears and concerns that the Federal Reserve may have more work ahead. This week, investors will be watching the latest inflation numbers, which will be released on Wednesday morning - this report should give us a better indication of what the Federal Reserve might do at their September 20th meeting on interest rates.
Economic reports from last week came back mixed:
•Vehicle Sales - lower than expectation
•Labor Productivity - lower than expectation
•Consumer Credit - lower than expectation
•Jobless Claims - lower than expectation
This week, investors will look for guidance from economic reports like Small Business Optimism, Inflation, Retail Sales, Manufacturing, Consumer Sentiment and Jobless Claims.