Over the weekend, US congressional leaders and the White House agreed on a deal to resolve the Debt Ceiling crisis. The legislation now needs to pass both houses of Congress ahead of a June 5th deadline, which has been pushed off from June 1st. So far, this news appears to be supporting US markets, but until everything is fully passed and signed, the risk of another flareup remains.
The economic calendar for this week is quite busy and back-ended due to the turn of the month. Wednesday brings Chinese and Chicago PMI numbers, followed by manufacturing PMI reports from around the world and US ADP payrolls on Thursday, and wraps up with US Nonfarm Payrolls on Friday. For Canada, monthly GDP comes out on Wednesday but employment data does not come out until next Friday.
It’s mop-up week on the earnings front with a smaller number of results dominated mainly by the remaining major and regional Canadian banks, and retailers, headlined by lululemon, Macys and Gamestop on Thursday.
As is common on US holidays, world market action has been relatively light overnight and into this morning. US index futures are up 0.2% to 0.4% building on Friday’s gains of 1.0% to 2.2% for US indices. Overseas market action has been mixed with the Nikkei up 1.0%, the FTSE up 0.7%, the Dax down 0.1% and the Hang Seng down 1.0%. Commodity markets are also quiet with WTI Crude Oil down 0.1%, and Copper up 0.2%.
Over the weekend, US congressional leaders and the White House agreed on a deal to resolve the Debt Ceiling crisis. The legislation now needs to pass both houses of Congress ahead of a June 5th deadline, which has been pushed off from June 1st. So far, this news appears to be supporting US markets, but until everything is fully passed and signed, the risk of another flareup remains.
The economic calendar for this week is quite busy and back-ended due to the turn of the month. Wednesday brings Chinese and Chicago PMI numbers, followed by manufacturing PMI reports from around the world and US ADP payrolls on Thursday, and wraps up with US Nonfarm Payrolls on Friday. For Canada, monthly GDP comes out on Wednesday but employment data does not come out until next Friday.
It’s mop-up week on the earnings front with a smaller number of results dominated mainly by the remaining major and regional Canadian banks, and retailers, headlined by lululemon, Macys and Gamestop on Thursday.