After a relatively quiet week last week, investors will again face a busy week with four market-moving events in store.
- Markit/ISM mfg. PMI
- Markit/ISM non-mfg. PMI
- ADP employment
- Jobs report
The main event, of course, will be the release of the U.S. employment data on Friday and should provide clarity on whether the Federal Reserve will hike interest rates again in December.
Still, several key economic indicators are also due this week and the Fed might be hoping that more positive economic data is what it needs to offer further stimulus. Even a well-received jobs report could result in markets keeping stock prices subdued as investors fear the next move could be a cut rather than a hike.
Over the longer-term, there are signs that the expansion is running out of steam.
Happy Monday. Good Luck out there this week.
Global Spotlight
The possibility of attacks in Iraq on the Jan. 3, 2021, anniversary of the death of Qassem Soleimani. As the one-year anniversary of the U.S. assassination of Qassem Soleimani approaches, tensions are mounting in Iraq over the possibility of a retaliatory or commemorative attack on or harassment of U.S. interests.
A possible easing of intra-GCC tensions at a Jan. 5 summit. The Gulf Arab states of the Gulf Cooperation Council will meet for their annual summit on Jan. 5 in Saudi Arabia.
Tensions between Paris and Washington over France’s digital services tax heat up. France has started collecting its digital services tax, which is primarily levied on U.S. multinational internet companies, as the agreement between the two to delay collection until Jan. 1 expires.
OPEC+ meets for the first time since agreeing to slowly ramp up production. OPEC+’s Joint Technical Committee will meet Jan. 3 while its Joint Ministerial Monitoring Committee will meet Jan. 4 to discuss the oil market and evaluate the current status of the deal.
Control of the U.S. Senate is decided. Jan. 5 Georgia runoffs will determine how much Senate support President-elect Joe Biden will have for his legislative agenda. The Democratic Party will need to win both runoff elections to gain control of the Senate; each race is expected to be extremely close.
A top-level Party meeting in North Korea. Party leaders will gather at an unspecified time in the coming days for the 8th Congress of the Workers’ Party of Korea, a long-awaited policy meeting that will set the trajectory for the country in a challenging year. In August, North Korean leader Kim Jong Un made a rare public admission of the shortcomings and delays in the current five-year economic plan, announcing the holding of the January 2021 congress to formulate a new plan.
Stratfor.com
Economic Calendar
Briefing.com has a good U.S. economic calendar for the week. Here are the main U.S. releases.
Briefing.com
