What to watch Across Markets This Week: August 19, 2024

• U.S. Retail Sales and Unemployment Claims improved over previous figures.
• Fed Chair Powell's Friday speech will focus on the U.S. economic outlook and possible interest rate easing.
• Canada shows signs of economic growth with higher consumer and business spending.
• Stock of the Week: ULA Sale Could Boost Boeing and Lockheed Martin Shares.

Last Week Market Recap

Recent U.S. economic data, including Retail Sales and Unemployment Claims, showed positive improvements compared to previous figures. Additionally, inflation data did not signal any unexpected spikes, leading to a rise in major U.S. indices.

Jackson Hole Symposium

The Economic Policy Symposium in Jackson Hole, Wyoming, will take place from Thursday, August 22, 2024, through Saturday, August 24, 2024. One of the key highlights of the event will be Fed Chair Powell's scheduled speech on Friday, August 23, 2024, at 6:00 PM GMT+4 (Dubai Time). His address is expected to focus on the U.S. economic outlook and may offer additional insights into potential interest rate easing. With inflation cooling and the economy stabilizing, the Fed is aiming to avoid a recession, with hopes of achieving a soft landing, as per analyst analysis.

Canada’s Market Movements

Inflation Data

On Tuesday, August 20, 2024, the Consumer Price Index (CPI) m/m will be released at 4:30 PM GMT+4 (Dubai Time). The CPI is projected to increase significantly from -0.1% to 0.4%, suggesting a potential boost in economic growth as consumer and business spending rises, as per analyst analysis.

Retail Sales m/m Data

Additionally, on Friday, August 23, 2024, Statistics Canada will release its Retail Sales data at the same time, 4:30 PM GMT+4. The forecast shows an improvement from -0.8% to -0.3%, indicating a positive trend in retail sales.

Overall, if these economic indicators align with expectations, it would signal an improvement in Canada’s economic landscape.

Stock of the Week

ULA Sale Could Lift Boeing and Lockheed Martin Stocks
Boeing (BA) and Lockheed Martin (LMT) are considering selling their rocket launch company, United Launch Alliance (ULA), to Sierra Space for $2 to $3 billion. ULA, once a leader in Pentagon satellite launches, has struggled to compete with SpaceX. If the deal goes through, it could boost the stock prices of Boeing and Lockheed Martin by freeing up resources and potentially increasing shareholder value, as per analyst analysis. However, the impact on Sierra Space could be mixed, as they would take on the challenge of revitalizing ULA in a competitive market, as per analyst analysis.