Will the US Labor Market Remain Strong Despite Fed's Rate Freeze? [New York Stock Exchange Weekly Outlook]

January 7th U.S. Employment Report Release

Trump's Tariff Policy Also in Focus

The biggest event for the New York Stock Exchange this week (3rd-7th) is the U.S. monthly employment report to be released on the 7th (local time). There is interest in whether the labor market will still show strength despite the high interest rate of 4.25~4.5%. The U.S. Department of Labor's Job Openings and Labor Turnover Survey (JOLTs) released on the 4th could be an indicator to predict the employment report results. ADP, a U.S. employment information company, will release its national employment report for January on the 5th.

Donald Trump's tariff policy is also a point of interest for investors. The U.S. government has reaffirmed its intention to impose a 25% tariff on Mexico and Canada, and 10% on China. Investors are expected to scrutinize the specific conditions of the tariff policy that the U.S. government will announce.

On the 3rd, the U.S. Institute for Supply Management (ISM) will release the January Manufacturing Purchasing Managers' Index (PMI). There is also the final January Manufacturing PMI from S&P Global.

The U.S. Department of Commerce will release the December trade balance, and ISM will release the January Services PMI on the 5th. On the same day, the final January Services PMI from S&P Global will also be released. A day later, on the 6th, the U.S. Department of Labor will provide investors with the weekly initial jobless claims.

This week will see speeches from high-ranking officials of the U.S. Federal Reserve (Fed). On the 3rd, Raphael Bostic, President of the Federal Reserve Bank of Atlanta, will give a speech. On the 4th, Philip Jefferson, Vice Chair of the Fed, and Bostic will appear in public. On the 5th, speeches are scheduled from Thomas Barkin, President of the Federal Reserve Bank of Richmond, Austan Goolsbee, President of the Federal Reserve Bank of Chicago, Michelle Bowman, Fed Governor, and Jefferson, Vice Chair of the Fed.

Additionally, earnings reports will be released from Palantir (3rd), Alphabet, AMD, PayPal, Merck, Pfizer (4th), Walt Disney, Ford, Novo Nordisk (5th), Amazon, and Eli Lilly (6th).

New York=Park Shin-young, Correspondent nyusos@hankyung.com