This Week: Powell testimony, FedEx results, May home sales
A look at some of the key business events and economic indicators upcoming this week:
Federal Reserve Chair Jerome Powell will testify before Congress on Wednesday and Thursday to give his regular, semi-annual updates on monetary policy. The Fed has been at the center of Wall Street’s massive moves this year, and any clues Powell gives about upcoming action are sure to guide trading. The Fed has been raising interest rates at an increasing pace, with the most recent hike the biggest since 1994, but Powell said such mega-moves won’t be common.
FedEx is in the midst of big changes as pressure increases from activist investors. The package delivery giant recently agreed to add two new directors to its board, and hiked its dividend by more than 50%. It also said it would tie some of its executives’ pay to how FedEx’s stock return measures up to the broader market. The company will report its latest quarterly results on Thursday.
New home sales
The housing market is one of the first to feel the direct effects of the Fed’s rate hikes, as more expensive mortgage rates claw into the industry. On Friday, economists expect a report from the Census Bureau to show sales of new homes slowed in May for the fifth-straight month.
Sales of new homes, seasonally adjusted annual pace
May (est) 588,000