U.S. Inflation, Eurozone GDP, and Nebius Earnings: What Investors Need to Know This Week
Arkady Volozh of data center provider Nebius will release financial results this week / Photo: X/Nebius
The main macroeconomic event of the week will be the release of U.S. inflation data for July. An unexpectedly weak jobs report has cast doubt on the likelihood of a Fed rate hike in the near future, so the new price data could significantly influence investor expectations. Also this week, GDP data for the eurozone and the UK will be released, according to The Wall Street Journal (WSJ). Investors will also continue to monitor developments in the Middle East.
The bulk of earnings season is now behind us: nearly 90% of S&P 500 companies have reported their results. U.S. companies have generally posted strong results, which is reflected in record-high stock market levels, notes Barron's. One of the key topics this week will be AI and cloud computing infrastructure: Nebius (led by Arkady Volozh), as well as Cerebras and Applied Materials—all of which operate in this segment—will release their quarterly reports, according to Yahoo Finance.
On Monday, August 10, investors are expecting earnings reports from Barrick Mining and Rocket Lab.
On Tuesday, August 11, CoreWeave, SuperMicro, Quantinuum, On Holding, and Firefly Aerospace will report their quarterly results.
On Wednesday, August 12, the U.S. Bureau of Labor Statistics (BLS) will release the Consumer Price Index (CPI) for July. According to Barron’s, economists are forecasting an average annual increase of 3.4%—0.1 percentage points lower than in June. Core inflation, which excludes volatile food and energy prices, is expected to slow from 2.6% to 2.5%.
Following the unexpectedly weak July jobs report, inflation data has become more important to the Fed, according to the WSJ. According to LSEG, the money market estimates the probability of a rate hike in September at about 44%. Weaker-than-expected inflation could reduce that probability even further.
Nebius, Cisco, Cerebras Systems, Fervo Energy, Tencent, Foxconn, and Tokio Marine will report their financial results.
On Thursday, August 13, the BLS will release the Producer Price Index for July. The consensus forecast calls for a 4.9% year-over-year increase in the PPI and a 4.1% increase in the core index. In June, they rose by 5.5% and 4.7%, respectively.
The United Kingdom will release its preliminary GDP estimate for the second quarter.
Applied Materials, Nu Holdings, JD.com, Birkenstock, and Thyssenkrupp will release their financial reports.
On Friday, August 14, the U.S. Census Bureau will release data on retail and restaurant sales for July. Analysts expect a 0.2% increase from the previous month—the same as in June.
Eurostat will release its second estimate of eurozone GDP for the second quarter—it will reflect the impact of the war in the Middle East on the region’s economic growth, according to the WSJ.
This article was AI-translated and verified by a human editor
