US Economy Sees Mixed Inflation News Amid Busy Data Week

The US economy saw mixed inflation news last week, with July's core CPI inflation rate cooling to 2.5% year-over-year, its lowest since March 2021. However, July's comparable PPI rose 4.4%. The FOMC meeting minutes from July 28-29 will provide insight into how Fed officials assessed the outlook for inflation before these numbers were available.

This week is packed with domestic economic news, including weekly unemployment claims on Thursday and industrial production on Tuesday. Regional business surveys will also be released, showing whether business activity has picked up as suggested by July's regional surveys from the NY and Philly Federal Reserve banks.

Global data will also take center stage this week, with Japan's preliminary Q2 GDP and China's latest retail sales and industrial production leading the way. Inflation readings from Canada, the UK, and the euro area will follow.