The tone in risk markets improved overnight as Irma was less destructive than initially feared, and North Korea refrained from conducting another missile test during its holiday over the weekend. Treasury yields are higher, and S&P 500 futures are currently up 11 points.   Regarding the North Korea situation, the U.N. Security Council is scheduled to vote on fresh sanctions against the rogue nation today, and the country has threatened to retaliate against such action.  Reports this morning suggest that the U.S. has agreed to water down its initial proposal, omitting an oil embargo and freeze of freeze of Kim Jong Un’s assets, but it remains unclear whether China and Russia will support even the scaled-back version.  The euro is weaker versus the dollar this morning after ECB Executive Board member Benoit Coeure reiterated Mario Draghi’s concerns from last Thursday that a stronger currency is weighing on inflation in the region.

This week’s economic calendar is headlined by Thursday’s CPI report and retail sales on Friday.  We’ve also entered the blackout period for Fed speakers ahead of the September FOMC meeting.  With last week’s decision for a 3-month fiscal agreement, Republican leaders are worried that any tax reform efforts will be much more complicated according to a Reuters article. Representative Ryan Costello (R-PA) said that legislative plans for September were “entirely undermined…seemingly very spontaneously.”

Jason Haley
Managing Director, Investment Management Group

 

Date TimeEventSurveyActualPriorRevised
09/12/2017 06:00NFIB Small Business OptimismAug104.8105.2
09/12/2017 10:00JOLTS Job OpeningsJul59756163
09/13/2017 07:00MBA Mortgage Applications8-Sep3.30%
09/13/2017 08:30PPI Final Demand MoMAug0.30%-0.10%
09/13/2017 08:30PPI Ex Food and Energy MoMAug0.20%-0.10%
09/13/2017 08:30PPI Ex Food, Energy, Trade MoMAug0.10%0.00%
09/13/2017 08:30PPI Final Demand YoYAug2.50%1.90%
09/13/2017 08:30PPI Ex Food and Energy YoYAug2.10%1.80%
09/13/2017 08:30PPI Ex Food, Energy, Trade YoYAug1.90%
09/13/2017 14:00Monthly Budget StatementAug-$123.0b-$42.9b
09/14/2017 08:30Initial Jobless Claims9-Sep300k298k
09/14/2017 08:30CPI MoMAug0.30%0.10%
09/14/2017 08:30Continuing Claims2-Sep1950k1940k
09/14/2017 08:30CPI Ex Food and Energy MoMAug0.20%0.10%
09/14/2017 08:30CPI YoYAug1.80%1.70%
09/14/2017 08:30CPI Ex Food and Energy YoYAug1.60%1.70%
09/14/2017 08:30CPI Core Index SAAug251.914
09/14/2017 08:30CPI Index NSAAug245.343244.786
09/14/2017 08:30Real Avg Weekly Earnings YoYAug1.10%
09/14/2017 08:30Real Avg Hourly Earning YoYAug0.70%
09/14/2017 09:45Bloomberg Consumer Comfort10-Sep52.6
09/15/2017 08:30Empire ManufacturingSep1825.2
09/15/2017 08:30Retail Sales Advance MoMAug0.10%0.60%
09/15/2017 08:30Retail Sales Ex Auto MoMAug0.50%0.50%
09/15/2017 08:30Retail Sales Ex Auto and GasAug0.30%0.50%
09/15/2017 08:30Retail Sales Control GroupAug0.20%0.60%
09/15/2017 09:15Industrial Production MoMAug0.10%0.20%
09/15/2017 09:15Capacity UtilizationAug76.80%76.70%
09/15/2017 09:15Manufacturing (SIC) ProductionAug0.40%-0.10%
09/15/2017 10:00U. of Mich. SentimentSep P9596.8
09/15/2017 10:00U. of Mich. Current ConditionsSep P110.9
09/15/2017 10:00U. of Mich. ExpectationsSep P87.7
09/15/2017 10:00U. of Mich. 1 Yr InflationSep P2.60%
09/15/2017 10:00U. of Mich. 5-10 Yr InflationSep P2.50%
09/15/2017 10:00Business InventoriesJul0.20%0.50%