Economic & Market Watch

In the News

Economy

• U.S. economic data will be in focus this week, with July Personal Consumption Expenditures (PCE) inflation and revised second-quarter gross domestic product both due Wednesday. Core PCE inflation is expected to rise 0.2% from June and remain at 3.2% year over year, potentially influencing the Federal Reserve’s interest-rate outlook.
• U.S. Treasury yields slightly declined at the start of the week as it was reported that the Department of Treasury could use its $1 trillion General Account to fund its plans to buy back government bonds.

Markets

• West Texas Intermediate crude oil futures fell to roughly $85/barrel Monday morning, retreating after recent gains. Oil prices modestly eased as markets assessed geopolitical risks and awaited new U.S. economic measures against Iran, while disruptions to shipping through the Strait of Hormuz remained a key source of uncertainty.
• U.S. stocks opened mixed with the Dow Jones gaining and the S&P 500 and Nasdaq retreating, as technology shares declined ahead of Nvidia’s earnings and key U.S. inflation data later this week.

Current Events

• The Trump administration is preparing to announce expanded economic sanctions against Iran, including measures targeting countries that continue doing business with Tehran. Iran warned it would respond to further escalation as the dispute over access to the Strait of Hormuz continues.
• President Trump threatened to double the automobile tariff on Canadian vehicles and parts starting next year, raising the tariff rate from 25% to 50%.

Meet the Team

CFC's economic research team—John Suter, Sam Kem and Antony Davies—share their expert, yet easily digestible, perspective on what you need to know.

Have feedback about the podcast? A topic you'd like the EMW team to cover? Get in touch at economicresearch@nrucfc.coop.

Source: U.S. Energy Information Administration, Trading Economics