Another hot inflation report and the start of earnings season make for a challenging week ahead
- Consumer inflation data and the start of the second-quarter earnings season could set the course for markets and result in volatile trading in the week ahead.
- The June consumer price index on Wednesday is expected to show headline inflation, including food and energy, rising above May’s 8.6% level.
- “The street has not really changed the [earnings] estimates. Revenue growth has ticked down. Margins are compressing. Analysts are leaving their estimates unchanged,” said one strategist. “If there’s going to be a readjustment, this is the time.”