August Consumer Price Index Report Could Sway Fed’s Monetary Stance

The impending August Consumer Price Index report might potentially strengthen the case for those advocating for a more watchful Federal Reserve when it comes to inflation. Despite expectations that the Federal Reserve is nearing the conclusion of its hiking cycle, the “definitive terminal rate remains uncertain.”

Economic Updates and Federal Reserve Stance

Updates concerning retail sales, producer prices, and jobless claims are anticipated to be the highlights of next week’s economic calendar. Due to the blackout period, Federal Reserve speakers will remain silent ahead of the FOMC meeting, which is slated for the 19th and 20th of September. This could potentially increase the significance of the economic reports. Analyst Victor Dergunov of Seeking Alpha expressed his opinion that the Fed might adopt a softer monetary approach in the coming year, suggesting their support towards markets. However, he cautions that a “worsening economic picture might be necessary before the Federal Reserve demonstrates clear signs of nearing a shift.”

Earnings Reports and Major Events

The earnings reports from Oracle (ORCL) and Adobe (ADBE) are expected to be the highlights of next week’s financial updates. Other notable events include Apple’s (AAPL) Wonderlust iPhone unveiling, Salesforce’s (NYSE:CRM) Dreamforce Conference, and the Senate’s debut AI Insight Forum.

The Google Monopoly Trial

The upcoming Google (GOOG) monopoly trial is also set to take the limelight, with significant media coverage anticipated. Marking the first substantial tech antimonopoly case in the United States in several decades, the trial’s commencement is “certain to attract considerable attention.”