Federal Reserve Decision Set to Dominate Markets This Week
The US Federal Reserve's upcoming monetary policy decision is set to be a major focus for investors this week. The central bank will announce its decision on Wednesday at 2 pm ET, with a potential interest-rate increase gaining traction following stronger employment data and firm inflation readings.
Markets have already priced in much of the expected move, so investors are likely to focus more closely on the accompanying policy statement and Fed Chair Kevin Warsh's press conference at 2:30 pm ET. The central bank will also release updated projections covering US economic growth, inflation, and the expected path of interest rates.
Beyond the Fed decision, several important economic indicators are scheduled to be released this week. Data on retail sales, housing starts, and industrial production will provide additional insight into the strength of the US economy. Energy markets will also remain in focus after crude oil prices surged above $100 a barrel again amid escalating tensions in the Middle East.
The S&P 500 rose 65.28 points or 0.9% to 7,656.98 on Friday, while the Dow Jones Industrial Average rose 509.19 points or 1% to 52,573.29. The Nasdaq composite rose 251.31 points or 1% to 26,333.04.