Markets keep an eye on US July retail sales this week

Madrid, Aug 9 (EFE) .- The markets will be alert this week to macroeconomic indicators such as retail sales in the United States in July and consumer and investor confidence in the euro area in August, and the possibility that a new stimulus package is approved in the US

The US retail sales data will be released on Friday and investors will compare it to the 7.5% year-on-year rise that was recorded last month.

Investors will also be awaiting a possible agreement between Republicans and Democrats on a new aid package in the US to alleviate the crisis caused by the coronavirus pandemic.

“Right now the positions are very far apart”, points out Javier Hombría, professor of the Master in Stock Market and Financial Markets of the IEB.

In his opinion, “many people have stopped receiving these federal aid” and, if an agreement is not reached, “we will see falls in consumption”, which will affect the behavior of the stock markets.

In addition, he adds, “it is likely that we will see a rise in precious metals again” due to investors’ fear “of a destabilization of the macroeconomic and consumer environment.”


For Singular bank’s macroeconomic analysis team, the focus this week will be on the preliminary results of the August consumer and investor confidence surveys, as well as the confirmation of the consumer price index data. (CPI) for July and the gross domestic product (GDP) for the second quarter in the euro area and in the United Kingdom.

In the United States, investors will be aware of the evolution of inflation and, especially, of the figures for retail trade and industrial production for July.

Specifically, on Monday the investor confidence in the euro zone will be released for August and, on Tuesday, the ZEW index of investor confidence in the euro zone for the same month.

On Wednesday, the data for industrial production in the euro area for June and the CPI for July in the US will be published, as well as the oil inventories of the International Energy Agency (IEA).

New applications for unemployment benefits in the US will be released on Thursday and on Friday the GDP for the second quarter and the June trade balance of the euro zone, as well as the data for US retail sales for July.

(c) EFE Agency