Markets Brace for Busy Week with Fed Speak and Earnings Reports

The upcoming week is packed with significant economic releases and earnings reports that will set the tone for financial markets. The US Federal Reserve's Fedspeak resumes on Wednesday, with Governor Lisa Cook and SF Fed Bank President Mary Daly speaking about their views on the economy. Their opinions are particularly interesting given their dissenting votes at last week's FOMC meeting. Investors may gain insight into the central bank's forward guidance from these comments, as Fed Chair Kevin Warsh has refused to provide such clarity. Meanwhile, several major companies will report their earnings, including Palantir, Advanced Micro Devices, Eli Lilly, and SanDisk. SpaceX will also make its first public earnings announcement on Tuesday. The key economic releases include the employment report for July, which is expected to rebound from June's disappointing figure of 57,000 new jobs. Additionally, the ADP report for July may show a weaker pace of job growth compared to previous months. The US PMIs are also expected to show solid readings, with a strong rebound in the manufacturing sector. Furthermore, Q2 productivity growth is likely to be on the weak side due to factors such as aggregate weekly hours worked and a surge in AI-related imports. Lastly, earnings reports from major companies will provide insight into their performance over the quarter, with estimates indicating 37% operating EPS growth for Q2-2026.