[New York Stock Market Weekly Outlook] Wall Street Watches Powell's Response to Trump's Pressure for Dismissal

Chair Powell scheduled for public speech on the 22nd (local time)

Earnings Announcements: Coca-Cola on the 22nd, Alphabet on the 23rd, Tesla on the 24th

This week (21st–25th), the New York stock market is expected to gauge the outcome of the upcoming Fed’s Federal Open Market Committee (FOMC) regular meeting by watching the remarks of Jerome Powell, Chair of the U.S. central bank (Fed), as well as the consecutive releases of employment and consumer indicators.

On the morning of the 22nd (local time), Chair Powell will give a public speech at a banking conference, providing hints on future monetary policy. Especially, attention is focused on how Powell will respond to the mounting pressure for dismissal from U.S. President Donald Trump.

Wall Street holds a negative stance on the Trump administration’s pressure on Chair Powell. Recently, Jamie Dimon, CEO of JPMorgan Chase, emphasized, "The independence of the central bank is absolutely critical," warning that "playing around with the Fed could produce the opposite results of what is anticipated."

Meanwhile, the ‘existing home sales indicator’ for June will be released on the 23rd, offering clues about the trends in U.S. real estate demand and interest rate sensitivity. This indicator measures the number of transactions completed and ownership transferred after the signing of actual purchase contracts.

On the 24th, weekly unemployment claims data will be released along with the preliminary July S&P Global Services PMI. At 10 a.m. that day, the number of new home sales for June will also be disclosed. The durable goods orders indicator is scheduled for release on the 25th, serving as a key leading indicator reflecting business investment sentiment.

Major corporate earnings announcements are also on the calendar. Based on U.S. Eastern Time, Coca-Cola will release its results before the market opens on the 22nd. Alphabet, Google’s parent company, will report after the market closes on the 23rd. Tesla will announce its earnings after the close on the 24th.

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