US economy set up for growth rebound
WEEKLY MARKET COMMENTARY |
Financial markets this week will be influenced by central bank policy rhetoric and a heavy slate of first-tier U.S. economic data. Investors continue to price in slow growth and the U.S. 10-year Treasury yield may move lower, toward 1.6 percent, as foreign demand for U.S. government securities increases amid negative interest rates in Europe and Japan. Meanwhile, the U.S. economy is set up for a solid second quarterly rebound in growth, likely near 3 percent.
The Federal Open Market Committee meeting this week will include a summary of economic projections and a press conference by Federal Reserve Chair Janet Yellen. In addition, fresh data on retail sales, housing, regional and national manufacturing, national and wholesale inflation and first-time jobless claims are on tap.