Monday Market Must-Knows: August 1, 2022

Will the job market stay strong? Or are we heading for Stagflation?

 

There are 3 major components for Stagflation:

• Rising inflation

• Declining GDP growth

• Rising unemployment

We know that the first two are happening, and, despite Jerome Powell’s announcement last Thursday of consecutive negative GDP numbers (two quarters in a row), he said that the job market is very strong.

 

So, it will be important to pay attention to this week’s announcements from the US Employment stats.

• JOLTS ((Job Openings and Labor Turnover Survey) Report – Tuesday 10:00am ET

• Unemployment claims – Thursday 8:30am ET

• Non-Farm employment – Friday 8:30am ET

• Unemployment Rate – Friday 8:30am ET

This week, the following international banks will be announcing rate increases:

• Reserve Bank of Australia – Tuesday 12:30am ET

• Bank of England – Thursday 7:00am ET

There are 1,508 companies reporting this week: Starbucks, CVS, MetLife, Energy Transfer, Berkshire and others.

 

As always, if you’re in the markets be in the know. Make sure you have proper risk management, a clear trade plan and stick to your rules.