The ECB’s policy rate decision, earnings from major companies and preliminary global PMI readings will be the market’s focus next week. Earnings announcements from major technology companies including Alphabet, Tesla and Intel are also scheduled.
Next week’s market focus will be the ECB’s policy decision, macroeconomic trends indicated by preliminary PMI readings from major economies, and US companies’ second-quarter earnings. The ECB is expected to keep rates unchanged, while President Lagarde’s indications of rate cuts from September onward could affect bond and foreign exchange markets.
The preliminary PMI readings will be closely watched as leading indicators of the global economy’s momentum in the third quarter, with developments in manufacturing and services in the US, Europe and Japan among the areas under observation. Earnings from technology companies such as Alphabet, Tesla and Intel are also due next week, with capital spending and demand trends likely to provide market cues.
On the financial front, companies in traditional industries are also expected to report their earnings, with announcements from 3M, GM, American Airlines and American Express among the key points of focus. These developments are expected to help gauge the AI investment cycle, capital spending and consumer trends.