With stocks continuing their post-election run-up last week, the new week could bring a hefty dose of volatility to trading. There’s a lot going on across a variety of channels. With that in mind, traders could have a hard time digesting everything.
Mid-month means plenty of new economic data being released. And that means we’ll get key measures of inflation, consumer spending, manufacturing and housing this week. Much of the data has been neutral to moderately bullish over the last few readings.
As for earnings, investors will get a serious break on that front. As earnings season is officially over, the number of stocks reporting profits will be next to zero.
That’s good news, since this week we’ll finally hear whether we get higher interest rates from the Federal Reserve. With the FOMC meeting and announcement coming on Wednesday, we could see choppy and light trading until the Fed announces its stance.
All in all, the Fed should dominate the week as investors try to gauge what exactly the central bank will do.
Check out last week’s Market Glance here.
