As the summer winds down after Labor Day, and we spin toward the autumnal equinox, the Federal Reserve will be taking a close look at the inflation numbers for August as it does a balancing act of its own trying to cool inflation without freezing the economy. Meanwhile, across the pond, the European Central Bank's governing council, which also has inflation on its mind, meets this week with the expectation that President Christine Lagarde will lower growth projections, decreasing the chances of the central bank delivering another 25-basis-point rate hike like the one in July.
The week ahead: U.S., EU hoping for cooler weather and cooling inflation
- SEC Chairman Gary Gensler will testify before the Senate Banking Committee on Tuesday in a hearing focused on oversight of the agency. The SEC has been busy under Mr. Gensler, and recently finalized a controversial rule requiring increased disclosures from private fund managers.
- Non-profit watchdog Better Markets is hosting a virtual conference Wednesday marking the 15th anniversary of Lehman Brothers' collapse. The event will feature speakers including Sen. Elizabeth Warren, D-Mass., and Mr. Gensler.
- The 2023 Harkin Retirement Security Symposium will also take place Wednesday in Washington. Experts and policymakers will discuss the current state and future of Social Security.
- On Wednesday, the U.S. Bureau of Labor Statistics will release inflation data for August, one week ahead of the Fed's next policy decision. The monthly annualized consumer price index has been steadily declining since the summer of 2022, although it rose a bit in July 2023, suggesting another potential rate hike.
- Initial jobless claims and retail sales data drops Thursday.
- U.K. July month-over-month gross domestic product data drops Wednesday.
- The European Central Bank's governing council meets Thursday and will make a decision on interest rates followed by a news conference.