Economy Week Ahead: U.S. CPI, Fed Minutes, German Manufacturing Orders
06 October 2019 - 8:29PM
Dow Jones News
By WSJ Staff
A quieter week on the data front lies ahead, following Friday's
monthly U.S. jobs report. The U.S. Labor Department will issue
figures on inflation and the Federal Reserve will post minutes from
its last meeting. Germany will release data on manufacturing
orders.
MONDAY
Amid a global manufacturing pullback, German manufacturers have
especially suffered as export orders in particular have declined
sharply. Monday's data on new orders may point to a stabilization
in August, although that would fall short of any hint of a
significant rebound in overseas or domestic sales. Economists
expect to see manufacturing orders up 0.2% from the previous month,
while remaining 2.7% down on a year earlier. However, as weak
orders continue to flow through factory floors, they expect figures
to be released Tuesday and Wednesday will show a 0.1% drop in
industrial production in the same month, and a narrowing of
Germany's trade surplus.
WEDNESDAY
The Federal Reserve releases minutes from its Sept. 17-18
meeting, when officials voted to cut interest rates by a
quarter-percentage point for the second time in as many months.
Investors will look for additional insight into how Fed officials
are thinking as discussions of another rate cut remain on the
table.
THURSDAY
The U.S. Labor Department issues the consumer-price index, which
measures changes in how much Americans are paying for items such as
clothes, gas and food. Economists surveyed by The Wall Street
Journal forecast the index rose 0.1% in September from the prior
month and 1.8% from the prior year.
Thursday's release will help shed light on whether inflationary
pressures are building in the U.S., a factor Fed officials consider
carefully as they set interest rates. The consumer-price index
ticked 0.1% higher in August from July, while core prices -- which
exclude the volatile categories of food and energy -- increased
0.3%. The personal-consumption expenditures price index, another
measure of inflation, also rose in August from the prior month, but
it was the smallest gain since January.
FRIDAY
The University of Michigan will release the preliminary October
results of its monthly consumer-sentiment survey. Economists expect
the survey's main index -- which is based on survey respondents'
assessments of current economic conditions and their future
expectations -- to be lower in October than in September. Last
month, the index was higher than in August, which survey officials
attributed to favorable jobs and income trends. Consumers have
helped drive the economy this year, but recent data have pointed to
declining consumer confidence and a slowdown in household
spending.
(END) Dow Jones Newswires
October 06, 2019 15:14 ET (19:14 GMT)
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