The first Worsh Fed meeting and the Kroger report: what investors need to know this week
Fed Chairman Kevin Warsh took the oath of office in the presence of President Donald Trump at the White House - for the first time since 1987 / Photo: The White House
Investors are entering a shortened trading week after the largest IPO in history: SpaceX at the end of the first trades rose in price by 19%, and its market capitalization exceeded $2.1 trillion. Investors' attention will now turn to the meeting of the U.S. Federal Reserve, which will be held on June 16-17. The Fed will make a rate decision for the first time under the leadership of Kevin Warsh, and his press conference following the meeting will be key to assessing the direction of the new regime, Yahoo Finance writes. The Bank of England will also meet this week. Last week, the European Central Bank was the first major regulator to resume raising rates.
Investors will also await news on the timing of the opening of the Strait of Hormuz, a crucial transportation corridor through which a quarter of the world's oil and gas supplies passed before the US-Iran war. As the conflicting sides moved closer to a peace deal, oil prices fell on the news but remain above pre-war levels for now.
Otherwise, the calendar is pretty calm for investors, according to Yahoo Finance.
On Monday, June 15, U.S. industrial production data for Ma will be released. The forecast, according to Yahoo Finance, assumes growth of 0.3%. The data will allow investors to assess the "physical" state of the economy after the publication of the wholesale price index, which rose at the strongest pace since November 2022, the publication writes. The housing market index for June will also be released, Barron's reports.
Last quarter's report will be released by Regencell Bioscience Holdings.
On Tuesday, June 16, ADP will release weekly labor market data - for the period ending Ma. 30. There will be an auction for 20-year government bonds of the U.S. Treasury Department. The Bank of Japan will publish its rate decision after a two-day meeting.
The reports will be released by La-Z-Boy and John Wiley & Sons.
On Wednesday, June 17, the US Federal Reserve will conclude its two-day meeting - the first under the leadership of Kevin Warsh. Traders are almost 100% confident that the FOMC will leave interest rates unchanged, but a quarter percentage point hike will follow later this year, Yahoo Finance writes. While President Donald Trump continues to call for lower rates, Warsh and Fed governors must take into account inflation, which continues to rise, the publication noted. Accelerating price growth is an unpleasant situation for Worsh to start, but it does not yet merit a "panicked rate hike," said Olu Sonola, Fitch Ratings' lead U.S. economist, he was quoted as saying by The Wall Street Journal.
In addition, the Bank of Sweden will make a rate decision on Wednesday. In the UK, inflation data will be released.
Jabil and CarMax will report quarterly results.
Thursday, June 17, will see the US jobless claims statistics for the week ended June 13 (consensus - 225,000). The Bank of England will publish its rate decision. It is expected to keep it at 3.75%, but may indicate a willingness to raise rates in the future if energy prices remain high for an extended period, Oxford Economics economist Edward Allenby predicted in a WSJ story.
In addition, the Swiss National Bank and Norway's Norges Bank will hold a rate meeting on Thursday.
Accenture and The Kroger Co. will report quarterly results.
On Friday, June 19, the U.S. stock market will be closed due to Juneteenth, a holiday commemorating the emancipation of slaves in the United States.
This article was AI-translated and verified by a human editor
