The First Week of the Second Quarter Expected to be Busy

April 3, 2017

The First Week of the Second Quarter Expected to be Busy Photo

Markets traded mostly sideways last week to end an eventful first quarter. Stocks posted solid quarterly gains and fixed income assets traded mostly sideways.

The second quarter gets off to a busy start this week. Some key market moving items to watch include President Trump’s meeting with Chinese President Xi Jinping, where they are slated to discuss trade and North Korea, both big topics to watch.

On the economic data front, the March employment number will be released on Friday. Current expectations are for job gains of 175,000 and the unemployment rate to remain at 4.7%. I will also be watching the ISM Manufacturing and Non-Manufacturing data releases to see if economic activity remains strong. Additionally, I’ll be looking at the release of the March Federal Reserve meeting minutes on Wednesday for any additional information on last month’s rate hike.

My expectation for market movements over the next few months is for stocks to grind higher and Treasury yields to increase. If you have a chance on Tuesday, Jamie Dimon of JPMorgan releases his annual letter, which I think is a must read.

Tags: Monday Morning O'Malley | U.S. economy | Federal Reserve | Interest Rates | Economic data | Treasury yields

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