[ad_1]
Powell appeared to plead for a reduction in remarks to Congress on Wednesday. In his semiannual briefing, he spoke of the concern over unresolved trade tensions and the concern over the weak global outlook, while noting that inflation continued to exceed the target of inflation. Fed.
A good job report for June did not change the outlook, he added.
"Since June [Fed] meeting and for a period prior to this one, the data continued to disappoint, "he said.
Investors saw this as a sure sign that the Fed would ease interest rates at its July meeting, although questions remain about the scale of a potential move. The Dow, Nasdaq and S & P 500 all peaked intra-day Wednesday.
Powell's testimony will continue Thursday before the Senate Banking Committee beginning at 10 am ET.
Also on the calendar: The European Central Bank will publish the minutes of its June meeting at 7.30 am ET.
2. French technology tax: French lawmakers could approve Thursday a bill that would impose a new tax on large technology groups and risk a costly reaction from the Trump administration at a time of tension for global trade.
The US Trade Representative announced Wednesday a so-called "Article 301" investigation, in which he was warned that the proposed tax could constitute discrimination against US companies.
This decision means that the United States could end up imposing tariffs of retaliation on French products.
"The United States is very concerned that the digital service tax, which should be passed by the French Senate tomorrow, unfairly targets US companies," said US Trade Representative Robert Lighthizer.
The measure would impose a 3% tax on the income of large internet companies in France. It would apply to companies with global turnover of more than 750 million euros ($ 845 million) and 25 million euros (28 million dollars) in France.
The investigation launched by the Trump administration is the same type that served as a basis for US tariffs on Chinese goods worth $ 250 billion. The investigation lasted seven months before President Donald Trump decided to proceed with the first round of tariffs.
The Dow is expected to rise 46 points, or 0.2%. The S & P 500 is also up 0.2%, while the Nasdaq could jump 0.3% a day after setting a new closing record. The S & P 500 crossed the 3,000 mark for the first time in its history on Wednesday, but finished just before a new high.
US oil futures have exceeded $ 60 a barrel, fearing Tropical Storm Barry will derail crude oil production in the Gulf of Mexico. US officials say five Iranian gunboats tried unsuccessfully to seize a British oil tanker in the Persian Gulf, raising prices with Brent crude, the international benchmark up 0.5%.
Thursday – US inflation rate; China's trade balance; Delta (DAL) earnings; Powell testifies in the Senate
Friday – American producer prices
[ad_2]
Source link