3 Economic Events That Could Affect Your Portfolio This Week, April 8 – 12, 2024 – TipRanks.com

Stock Markets Await Q1 2024 Earnings Reports

Last week, stock markets experienced a sharp drop due to strong economic reports that dimmed the outlook for future rate cuts. Treasury yields spiked, and oil prices jumped. However, investors’ optimism was rekindled on Friday as expectations of a robust economy supporting strong corporate earnings emerged.

This assumption regarding continued strong corporate profitability will be put to the test this week as the Q1 2024 earnings season kicks off on Friday with reports from the leading banks. With stock valuations near their two-year high, earnings – and even more importantly, further guidance – will draw increased investor attention and pave the path forward for stock market performance.

This week, investors will also focus on incoming economic data and minutes from the March FOMC meeting. Recent comments from several policymakers, including Fed Chair Jerome Powell, have underscored that policymakers are not convinced inflation has sustainably subsided and are looking for further proof in the data. Both the central bank members and investors will closely watch the economic reports scheduled to be released this week.

Three Economic Events

Here are three economic events that could affect your portfolio this week. For a full listing of additional economic events, check out the TipRanks Economic Calendar.

March’s CPI and CPI ex. Food and Energy (Core CPI) – Wednesday, 04/10

The CPI report is one of the two key indicators used to measure inflation (the second one is the Personal Consumption Expenditures, or PCE). Policymakers, businesses, and consumers closely watch the CPI report as it reflects the price trends in the economy, shapes consumer spending and business outlooks, and directly affects the Federal Reserve’s policy rate decisions.

March’s Producer Price Index (PPI) – Thursday, 04/11

This report reflects input prices for producers and manufacturers. Since PPI measures the costs of producing consumer goods – directly affecting retail pricing – PPI is seen as a good pre-indicator of inflationary pressures. This makes it a leading indicator for the following month’s CPI. Thus, the PPI directly impacts the overall inflation outlook among policymakers.

April’s Michigan Consumer Sentiment Index and UoM 5-year Consumer Inflation Expectations (preliminary readings) – Friday, 04/12

These reports portray the results of a monthly survey of consumer confidence levels and consumers’ views of long-term inflation in the United States. The level of confidence affects consumer spending, which contributes about 70% of the U.S. GDP. The inflation expectations index is used as a component of the Fed’s Index of Inflation Expectations calculations.

For more exclusive market insights and content from TipRanks Macro & Markets research analyst Yulia Vaiman, click here.

SDGs, Targets, and Indicators

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 8: Decent Work and Economic Growth
• SDG 10: Reduced Inequalities
• SDG 12: Responsible Consumption and Production
• SDG 16: Peace, Justice, and Strong Institutions

The issues highlighted in the article are related to economic growth, inflation, consumer sentiment, and the role of institutions in shaping economic policies and decisions. These align with the goals of SDG 8 (Decent Work and Economic Growth), SDG 10 (Reduced Inequalities), SDG 12 (Responsible Consumption and Production), and SDG 16 (Peace, Justice, and Strong Institutions).

2. What specific targets under those SDGs can be identified based on the article’s content?

• Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading, and innovation
• Target 10.1: By 2030, progressively achieve and sustain income growth of the bottom 40% of the population at a rate higher than the national average
• Target 12.2: By 2030, achieve sustainable management and efficient use of natural resources
• Target 16.6: Develop effective, accountable, and transparent institutions at all levels

Based on the article’s content, the specific targets that can be identified are Target 8.2 (higher economic productivity), Target 10.1 (income growth for the bottom 40% of the population), Target 12.2 (sustainable resource management), and Target 16.6 (effective institutions).

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

No indicators are mentioned or implied in the article that can be used to measure progress towards the identified targets.

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: tipranks.com

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