European markets are called to open negative this morning.
Asian stocks rose for the first time in three days as China’s economy grew at a slower pace, a moderation that may ease inflation pressures, and as investors weigh efforts to contain Europe’s debt crisis.
U.S. stocks ended near session lows Tuesday after Ireland’ credit rating was cut to junk by Moody’ Investors Services, serving as yet another reminder of Europe’ ongoing debt troubles.
The Dow Jones industrial average dropped 59 points, or 0.5%, with Boeing and Intel weighing on the blue chip index.
PrintCommentThe S&P 500 fell 6 points, or 0.4% and the Nasdaq composite tumbled 21 points, or 0.7%.
“The market is rightfully concerned and is trying to understand how this debt problem will be managed,” said Rob Lutts, chief investment officer at Cabot Money Management.
Events this week
Wednesday – The Energy Department’ weekly oil inventories report comes out in the morning.
Fed chairman Ben Bernanke will also begin his semiannual testimony to Congress about monetary policy and the economy on Wednesday. Bernanke will appear before the Committee on Financial Services of the House of Representatives.
In earnings, fast food company Yum! Brands as well as hotel chain Marriott will report their earnings after the closing bell.
Thursday — JPMorgan Chase reports its second-quarter results before Thursday’ opening bell, with analysts expecting the commercial banking giant to have earned $1.21 a share according to Thomson Reuters.
There are several economic reports out Thursday morning. The Labor Department will issue its weekly jobless claims report and its June producer price index report, also known as wholesale inflation. The Commerce Department issues its reports on June retail sales as well.
Economists forecast that weekly jobless claims held mostly steady at 419,000 claims, up 1,000 from last week. Retail sales are expected to fall 0.2% for June and the producer price index is expected to fall 0.3%.
Bernanke’ testimony to Congress continues, with the Fed chairman appearing before the Senate’ Committee on Banking, Housing, and Urban Affairs.
After the bell, Internet search giant Google will report its quarterly results. Analysts expect that Google earned $7.86 a share.
Friday – The Labor Department releases its June consumer price index data, the nation’ most common read of inflation, in the morning. Economists are looking for CPI to fall 0.1% versus the 0.2% rise reported in May.
Investors will also get June industrial production figures, the July reading on the University of Michigan consumer sentiment index and the Empire State Manufacturing Index.
Citigroup and toy maker Mattel are slated to report their latest quarterly results in the morning as well.