Financial Reports

With the passing of the previous busy weeks of rate decisions, this week features the Federal Reserve’s preferred inflation report in the PCE Index, which has shown that inflation has come in hotter than expected for the month of May. This likely cements the Federal Reserve’s decision to take no action until later and further confirming most economists' predictions. The consumer confidence has also taken a hit as it has further declined again for the month of May, indicating there is still significant apprehension within the markets and consumers alike. This is accompanied by Consumer Spending data, which met expectations,…

With the passing of the FOMC rate decision, it has become clear that the Federal Reserve is taking a wait-and-see approach to the current situation regarding tariff policies. Although the vast majority of economists around the world have made predictions about what lies ahead, the effects have not yet been pronounced. Many of the recent tariff changes have also been revoked or put on pause for the largest industries, leaving many markets uncertain about the future. The key takeaway is that conditions will likely remain steady for now. The only other data release offering insight into what’s to come is…

The CPI and PPI have yet to reveal the impacts of the tariff policies that were placed temporarily, which gives some potential insight that there might be a path forward for the Federal Reserve to look at potential rate cuts. However, economists across many industries are expecting inflation to increase temporarily as an impact for the policies that were put in place. Significant uncertainty remains across many import and export markets, with major players opting to err on the side of caution while awaiting a final decision from the administration regarding its policies. Consumer sentiment has shown a slight improvement…

With next week bringing the latest wave of inflation data reports--namely the CPI and PPI--this week featured a slew of releases with minimal impact. The Trade Deficit and the Federal Reserve's Beige Book stood out as the main indicators reflecting the current state of the economy. Although tariffs have largely been put on pause, their effects continue to reverberate across numerous industries. Significant concern remains due to the instability in decision-making from the current administration. The Trade Deficit came in as expected, with the deficit cut in half following the announcement of tariffs, which caused imports to plunge. Meanwhile, the…

The PCE Index release—the Federal Reserve’s preferred inflation indicator—has shown favorable results. However, the overwhelming sentiment remains one of uncertainty due to the ongoing trade wars. With these conflicts still in full swing, inflation is expected to rise in the near future at a faster-than-anticipated pace. Following the recent trade truce with China, consumer sentiment has improved, though the long-term impact remains uncertain. As expected, consumer spending has declined noticeably, as the tariffs have led to short-term price increases. PCE IndexThe cost of living barely rose in April — and the rate of inflation slowed even closer to prepandemic levels…

Despite the recent pause on tariffs for Europe and progressing talks with China, the economic outlook remains largely negative across all sectors and markets. Although this week was relatively light on economic reports, the most notable was the Leading Economic Indicators, which showed a significant decline in every measurable category for April. This decline is largely attributed to the tariff policies implemented recently. Overall, the outlook remains pessimistic, despite other markets showing a more favorable reaction to the recent pauses on tariffs. U.S. Leading Economic Indicators The Conference Board Leading Economic Index (LEI) for the US fell sharply by 1.0%…

The latest inflation data has been released, offering insight into the near-term impact of the recent tariff measures. The results indicate that despite deflationary pressure on the economy, inflation continues to trend upward with the recent, ongoing tariff wars. While the tariffs have been temporarily suspended, their effects are already being felt—consumers are experiencing price increases, and retailers have already been positioning themselves to increase prices due to the impacts of the tariff policies. While wholesale and producer inflation has seen a modest decline, this was expected as the market adjusts to the shifting economic landscape. Economists broadly predict that…