Economic Week Ahead: All Eyes are on Trump and Powell

With markets at all-time highs investors will be paying very close attention to President Trump and the Federal Reserve’s Jerome Powell later today.

At noon, President Trump will speak at the Economic Club of New York, where he’s expected to discuss the trade dispute with China.  Unfortunately, Trump appears unwilling to remove tariffs on Chinese imports. 

 In fact, he has said that while trade talks were moving along “very nicely,” as highlighted by Reuters, the U.S. would only make the deal if it was good for America.  “The trade talks with China are moving along, I think, very nicely and if we make the deal that we want it will be a great deal and if it’s not a great deal, I won’t make it.”  

The President may also hint that he’ll delay imposing tariffs for six months on European auto imports.  The deadline for a decision is Wednesday.  

Federal Reserve Chairman Jerome Powell Heads to Capitol Hill

On Wednesday, Jerome Powell will testify before the Joint Economic Committee at 11 a.m. EST. By Thursday, he’ll speak before the House Committee on the Budget. Investors will be looking for hints on a rate cut by December 2019, commentary on the effects on the trade war, and the handling of the Fed’s balance sheet.  

Commerce Department’s October 2019 Retail Sales Report out Friday

Later this week, we’ll see if consumer spending strength can be maintained heading into the 2019 holiday shopping season.  We’ll get a better idea of that when the Commerce Department releases its October 2019 retail sales report.

Stay tuned for more on all of these developing stories.