Wall Street week ahead: All eyes on Middle East conflict, Jerome Powell's testimony, PCE inflation, personal income data
Amid the escalating Middle East conflict, Wall Street investors will have a plenty of economic data to look forward to in the week ahead.
Tensions in the West Asia deepened after the United States joined Israel in attacking Iran.
The US attacked three nuclear sites in Iran on early Sunday.
In an address to the nation from the White House, US President Donald Trump said that Iran's key nuclear sites were 'completely and fully obliterated'.
In response, Iran's Foreign Minister Abbas Araghchi stated that the time for diplomacy had passed and that his country had the right to defend itself.
'The warmongering, a lawless administration in Washington is solely and fully responsible for the dangerous consequences and far reaching implications of its act of aggression,' he said at a news briefing in Turkey.
In terms of the US economic data, focus of market participants will be on the Personal Consumption Expenditures Price Index, the Federal Reserve's preferred inflation gauge, personal income and spending data, and home sales numbers.
Spotlight will also be on US Fed Chair Jerome Powell's testimony before the House Financial Service Committee on Tuesday and Wednesday.
On June 23 (Monday), separate reports on S&P flash US services PMI for June, S&P flash US manufacturing PMI for June, existing home sales for May will be released.
On June 24 (Tuesday), data on S&P Case-Shiller Home Price Index (20 cities) for April and consumer confidence for June will be declared.
US Federal Reserve Chair Jerome Powell is scheduled to testify before the House Financial Service Committee on Tuesday.
On June 25 (Wednesday), data on new home sales for May will be released.
On June 26 (Thursday), separate reports on advanced US trade balance in goods for May and second revision of first quarter Gross Domestic Product (GDP) will be released.
On June 27 (Friday), data on consumer sentiment (final) for June, personal income for May, personal spending for May, and PCE Index for May will be released.
Following companies are due to report first quarter results in the week ahead — FactSet Research, Commercial Metals, FedEx, Carnival Corp, BlackBerry, Micron, Paychex, Daktronics, Nike, Walgreens Boots, and Concentrix.
US stocks closed mixed on Friday.
The S&P 500 lost 0.21%, while the Nasdaq Composite shed 0.49%. The Dow Jones Industrial Average, however, rose 38.47 points, or 0.09%, to 42,210.13.
In the bond market, the yield on the 10-year Treasury edged down to 4.37% from 4.38%. The 2-year yield fell to 3.90% from 3.94%.
Oil prices fell on Friday as the US imposed new Iran-related sanctions, marking a diplomatic approach that fed hopes of a negotiated agreement.
Brent crude futures ended down $1.84, or 2.33%, to $77.01 a barrel. US West Texas Intermediate crude for July lost 21 cents, or 0.28%, at $74.93.
Brent rose 3.6% on the week, while front-month US crude futures increased 2.7%.
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Economic Times
39 minutes ago
- Economic Times
Ripples spread across the world after US strikes Iran's nuclear facilities at Fordo, Natanz, and Isfahan
Trump Calls It a 'Spectacular Success' Live Events Iran Threatens Retaliation, Closes Strait of Hormuz Gulf States on Alert, Europe Calls for Restraint Russia and China Condemn Strikes, Israel Praises Action Global Watch: IAEA, DHS React (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel In the Iran-Israel conflict, the United States launched airstrikes on Iran's key nuclear sites at Fordo, Natanz, and Isfahan in the early hours of Sunday. Using bunker-busting bombs, the US strikes mark a dangerous escalation, raising fears of a wider war in the Middle the airstrikes, US President Donald Trump said: 'Iran's key nuclear enrichment facilities have been completely and totally obliterated. Iran, the bully of the Middle East, must now make peace' or face more devastating Defence Secretary Pete Hegseth added: 'The president authorised a precision operation to neutralise the threats to our national interests posed by the Iranian nuclear programme.'Despite the aggressive move, the Pentagon said the US was not seeking full-scale war with Foreign Minister Abbas Araghchi responded strongly: 'There would be no return to diplomacy until it had retaliated.'Iran's Parliament has approved a closure of the Strait of Hormuz, a key waterway through which 20% of the world's oil passes. The final decision rests with Iran's Supreme National Security Council.'The US showed they have no respect for international law. They only understand the language of threat and force,' Araghchi said in Istanbul, calling for the UN Security Council to condemn the across the Gulf, including Saudi Arabia, Kuwait, and Bahrain, raised their security levels. Bahrain warned drivers to avoid main roads, while Kuwait opened emergency shelters. Nuclear safety agencies in the UAE and Saudi Arabia reported no signs of Europe, Britain, France, and Germany jointly said: 'We have consistently been clear that Iran can never have a nuclear weapon and can no longer pose a threat to regional security.'They urged Iran to return to talks, offering to help find a solution.'We stand ready to contribute to that goal in coordination with all parties.'Russia and China issued strong condemnations of the US Israeli PM Benjamin Netanyahu said: 'Trump's decision to target Iran's nuclear facilities with the awesome and righteous might of the US will change history.'Shortly after the US airstrikes, Iran fired more missiles at Israel, injuring many in Tel Aviv and destroying buildings. However, Iran has not yet attacked US military bases or tried to block oil exports completely, signs it may be trying to avoid total International Atomic Energy Agency (IAEA) said no rise in radiation had been detected. Its head, Rafael Mariano Grossi, called an emergency meeting of the board.A US Department of Homeland Security alert warned of a 'heightened threat environment' within the country following the satellite images showed damage above Fordo and nearby entrances, it is unclear how much of the underground site was hit. Iran reportedly moved some enriched uranium out before the from agencies
Hindustan Times
42 minutes ago
- Hindustan Times
US strikes Iran: Does Iran have nuclear sites in secret locations? Will Strait of Hormuz be closed? Answering all FAQs
President Donald Trump on Saturday announced that the US conducted strikes on three Iranian nuclear facilities - Fordow, Natanz, and Isfahan - amid the ongoing Israel-Iran conflict. Officials on Sunday stated that the strikes were not a preamble to regime change, naming the operation 'Midnight Hammer'. Trump said US destroyed Iran's Fordow nuclear site(AFP) Defense Secretary Pete Hegseth warned Iran against following through with past threats of retaliation against the United States and said US forces would defend themselves. "This mission was not and has not been about regime change," Hegseth told reporters at the Pentagon. Now, several questions have emerged since the US's strikes on Iran. Below are answers to frequently asked questions about potential secret nuclear sites in Iran and the possibility of Iran closing the Strait of Hormuz. Read More: Every US citizen a 'target': Iran after US strikes on Isfahan, Natanz and Fordow nuclear sites Does Iran Have Nuclear Sites in Secret Locations? The US targeted Fordow, Natanz, and Isfahan, known as Iran's primary nuclear enrichment and research facilities. Fordow, buried deep in a mountain, is the most fortified, while Natanz hosts large-scale uranium enrichment, and Isfahan contains research and fuel production. The International Atomic Energy Agency (IAEA) monitors these sites and reported no off-site radiation post-strikes, suggesting no undetected radioactive material release. Secret sites possibility: A 2018 Israeli intelligence operation revealed documents suggesting undeclared sites, though no concrete evidence of operational secret facilities has emerged since. The IAEA's Rafael Grossi noted that assessing underground damage is challenging, and Iran's claim of evacuating materials from Fordow hints at preparedness. Read More: Iran 'reserves all options' to defend itself after US strikes, says foreign minister Will Iran Close the Strait of Hormuz? Iran's parliament voted to close the Strait of Hormuz, a critical oil route handling 20% of global petroleum, in retaliation for US strikes. However, the decision requires approval from Iran's Supreme National Security Council and Supreme Leader Ayatollah Khamenei, and no closure has been enacted as of now. Shipping companies like Hapag-Lloyd report the strait remains open, with high alert levels. Closing the Strait would spike oil prices, potentially causing a global recession. Iran's economy, reliant on oil exports through the strait, would also suffer. Vice President JD Vance called closure 'suicidal' for Iran, urging diplomacy. Additional FAQs What Was the US Strike's Scope? Codenamed 'Operation Midnight Hammer,' the US used multiple B-2 bombers to drop bunker busters on Fordow and Natanz, and 30 Tomahawk missiles from submarines on Natanz and Isfahan. Was Iran's Nuclear Program Destroyed? President Trump claimed the sites were 'totally obliterated,' but the IAEA and Iranian officials dispute this, noting no radioactive contamination and ongoing nuclear knowledge.
Time of India
an hour ago
- Time of India
D-Street braces for 'risk-off' selloff
MUMBAI: Investors on the edge after an escalation in the West Asia conflict with most Dalal Street players expecting the Sensex to open lower on Monday. They also expect crude oil prices to spike, which in turn would put pressure on the rupee. On Sunday, after the US bombed three nuclear sites in Iran and the latter resolved to close the Strait of Hormuz through which about 20% of the world's crude oil and natural gas pass, market players said oil prices could spike soon. On Friday, as Dalal Street investors ignored the geopolitical tensions between Iran and Israel, the sensex recorded a four-digit points gain to close at 82,408 points. And Nifty on the NSE gained 319 points to close at 25,112 points. Globally, Brent was trading at above the $77/barrel level while WTI crude was around the $75 level. Both were trading at near their four-month high levels. Despite the global headwinds, India's economic fundamentals on the other hand could act as a balancing act to those negative factors, Kotak Mahindra Mutual Fund MD Nilesh Shah said. "Indian equity and rates market is like a man having average temperature with one leg in cold water and the other in hot water. Domestic factors support current valuation for long term investors expecting moderate returns. (However) global factors from (the US president Donald) Trump's policies to oil price/supply are boiling hot," he said. Shah said that investors need to keep a watch on the availability of oil as well as the price. "We have enough forex reserves to manage higher oil prices in double digits. (However) oil prices crossing triple digit or restricted supply will have an adverse impact on the market." Shah added that investors should use any market correction as an opportunity to accumulate while traders should remain on a cautious mode. The geopolitical uncertainty could also push up prices of gold as investors move to 'risk off' mode, meaning they sell risky assets like equities and move to haven assets like gold and govt bonds, market players said. A section of the market players believes that in case Iran doesn't react aggressively to the US's move to bomb its three nuclear sites, the markets may soon recover after a negative opening in Monday's early trade. One trader even pointed out that TA 35, the main stock market benchmark in Israel, was up more than 1% in Sunday's trading session, indicating investors in Israel had ignored the geopolitical tensions. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
