Financial Institutions Plan for Moderate Upswing on Wall Street
Fresh Take:
Stock market gurus are eying a positive start for Wall Street on Wednesday, June 18, 2025, as the Fed's upcoming policy announcement, housing starts, and jobless claims grab attention. The alleged Iran situation in the Middle East is under watchful eyes as rumors swirl about potential U.S. involvement.
Asia's markets closed with a mixed bag, while Europe's shares are predominantly in the red. The buzz is that the U.S. might join Israel in striking Iranian nuclear sites.
Oil prices eased in the Asian trading session, while gold held steady. As of 8:15 a.m. ET, Wall Street's futures were showing a positive trend, with the Dow up by 28 points, the S&P 500 gaining 8.5 points, and the Nasdaq 100 surging 48.5 points.
Let's rewind a tad: The major U.S. averages took a hit on Tuesday, with the Nasdaq plummeting 0.9 percent, the S&P 500 decreasing 0.8 percent, and the Dow losing 0.7 percent.
Now, grab a cuppa to dive into the economic calendar:
- The Housing Starts and Permits for May will be issued at 8:30 a.m. ET, with Starts expected to reach 1.360 million and Permits projected to hit 1.430 million.
- The Jobless Claims for the week will be released at 8:30 a.m. ET, with the consensus anticipating 244K, a slight increase from the prior week's 248K.
- At 10 a.m. ET, the Atlanta Fed Business Inflation Expectations for June will be shared, following a prior month surge to 2.5 percent.
- The Energy Information Administration or EIA's Petroleum Status Report and Natural Gas Report will drop at 10:30 a.m. ET and 12 p.m. ET, respectively.
- Six-month Treasury Bill auction, along with announcements for two-year floating rate note (FRN Note), five-year Treasury Note, and seven-year Treasury Note will be held at 11 a.m. ET.
- The Fed Open Market Committee (FOMC) announcement, Chair Powell's press conference, and the release of Treasury International Capital for April will all happen at 2 p.m. ET.
Meanwhile, Asian stocks ended the day in a jumble: China's Shanghai Composite index edged up, Hong Kong's benchmark Hang Seng index plummeted, while Japanese markets surged to a four-month high. Australian markets dipped slightly.
European shares are trading in the red, with the CAC 40 Index of France, the German DAX, the U.K. FTSE 100 Index, the Swiss Market Index, and the Euro Stoxx 50 Index experiencing varying degrees of loss.
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Topics:- Economic Indicators- Monetary Policy- Stock Market Trends- Asia-Pacific Markets- European Markets- Middle East Conflict
Enrichment:
According to the hints, the Federal Reserve's monetary policy meeting, held on June 18, 2025, concluded with a steady interest rate and a modest economic growth outlook amid elevated inflation and trade uncertainties. Housing starts and jobless claims, both sensitive to the Fed's monetary stance and economic conditions, may continue their steady or stable paths due to the Fed's guarded optimism and trade-related uncertainties affecting construction costs and business opportunities. The mixed stock market reaction to this news may reflect investors' cautious optimism about the Fed's policy but wariness of the growth challenges ahead. Major averages could potentially experience mild pressure or consolidation rather than robust rallies.
The business sector is eagerly awaiting the Federal Reserve's policy announcement on June 18, 2025, as it could influence housing starts and jobless claims, which are crucial indicators in the finance world. The upcoming Fed meeting may offer insights into their stance on elevated inflation and trade uncertainties, potentially impacting business opportunities and construction costs.
