Morning Juice – US Session Prep (26th June)
Sentiment
The dollar fell on speculation US interest-rate cuts may come sooner and go further than currently priced into markets as President Donald Trump ratchets up pressure on Federal Reserve Chair Jerome Powell. The Federal Reserve unveiled plans to roll back an important capital rule that big banks have said limits their ability to hold more Treasuries and act as intermediaries in the $29 trillion market. The Treasury Department is nearing a deal that would make the so-called “revenge tax” irrelevant, the agency’s second-in- command said, a development that could bring great relief to Wall Street investors worried about punitive tax measures on foreigners. President Donald Trump said the US would hold a meeting with Iran next week but cast doubt on the need for a diplomatic agreement on the country’s nuclear program, citing the damage that American bombing had done to key sites.
Docket
08:30 ET
US GDP Q1 Final
QoQ – Forecast: -0.2% | Prior: -0.2% | Range: 0% / -0.3%
Price Index – 3.7% | Prior: 3.7% | Range: 3.74% / 3.6%
Core PCE – 3.4% | Prior: 3.4% | Range: 3.4% / 3.3%
US Durable Goods May Prelim
Forecast: 8.5% | Prior: -6.3%
US Weekly Jobless Claims
Initial Claims – Forecast: 243k | Prior: 245k | Range: 252k / 235k
Continued Claims – Forecast: 1.95M | Prior: 1.945M | Range: 1.97M / 1.915M
Speakers
08:30 ET
Fed’s Goolsbee speaks on CNBC.
08:45 ET
Fed’s Barkin speaks on the economy during an event hosted by the New York Association for Business Economics.
Text and Q&A are expected.
Fed’s Daly speaks on BBTV.
09:00 ET
Fed’s Hammack gives opening remarks at a conference focused on housing, workforce and economic development hosted by the Cleveland Fed in partnership with the Federal Reserve Banks of Atlanta, Boston, Chicago, Dallas, Kansas City, New York, Philadelphia, Richmond, and St. Louis.
Text is expected, but no Q&A.
13:15 ET
Fed’s Barr discusses how community development advances the Fed’s objectives at a conference focused on housing, workforce and economic development hosted by the Cleveland Fed
Text and Q&A are expected.
14:30 ET
ECB’s President Lagarde speaks at the 150th anniversary of Münchner Opernfestspiele in Munich, Germany.
The text will be made available on the ECB’s website.
Good luck!
