OWING Fed Chair Janet Yellen’s confirmation last week that she expected the US central bank to raise rates in 2015, the market is expected to become choppier over the coming weeks.
Though the process is expected to be gradual, with the timing of the first hike dependent on the strength of economic data, Yellen’s tone signals an end to the extended period of low volatility and steady gains US stock investors have been enjoying recently.
Meanwhile, today sees US services PMI data published, along with consumer confidence numbers, while US crude oil inventories data on Thursday is expected to show a drop of 18m barrels.
The US market started the week quietly, with Wall St closed yesterday for Memorial Day. The rest of the week will see results from TiVo, CostCo and Michael Kors.