Wall Street looks to begin a jam-packed week on a high note as investors cheer the U.S.-EU trade deal that was announced on Sunday.
The yield on the 10-year Treasury was flat at 4.386%. The U.S. dollar dipped 0.12% against the euro but was steady against the yen.
Trump’s deals with the EU and Japan set 15% tariffs rates on both trade parters, who have also vowed to invest hundreds of billions of dollars in the U.S.
Gold edged down 0.15% to $3,330.50 per ounce. U.S. oil prices rose 0.1% to $65.22 per barrel, and Brent crude climbed 0.1% to $68.51.
Investors will not be able to look away over the coming week as every single day could produce significant market-moving news.
Tariff drama will continue throughout the week as other countries try to reach deals with the U.S. before Friday’s deadline, when a pause on aggressive “reciprocal” rates will expire.
Meanwhile, Trump’s tariffs face legal challenges, with a court hearing scheduled Thursday on whether the president has authority under the International Emergency Economic Powers Act to impose wide-ranging duties.
On Tuesday, the Federal Reserve will begin its two-day policy meeting. Analysts don’t expect the central bank to adjust rates, but Governor Christopher Waller has indicated he will dissent and call for a cut.
Chairman Jerome Powell’s press briefing on Wednesday afternoon will likely be dominated by questions related to the White House’s attacks about renovations at the Fed’s headquarters and calls from Trump allies for Powell to be ousted due to the project’s cost overruns.
Meanwhile, several closely watched datasets are due that will offer more clues on how tariffs may—or may not—be impacting the economy. On Tuesday, reports on consumer confidence, home prices, and job openings will come out.
On Wednesday, ADP’s private-sector payroll survey, second-quarter GDP data, and pending home sales are scheduled.
On Thursday, weekly jobless claims and the personal consumption expenditures report, which includes the Fed’s preferred inflation gauge, are due.
And on Friday, the Labor Department’s monthly jobs report, the Institute for Supply Management’s manufacturing activity index, and construction spending round out the week in data.
