INDICATOR: Second Quarter Productivity and Costs
KEY DATA: Productivity: +2.5%; Output: +5.2%; Real Hourly Compensation: +0.1%; Unit Labor Costs: 0.6%
IN A NUTSHELL: "Productivity rebounded, keeping business costs low as wage gains remain largely under control."
INDICATOR: Supply Managers' Non-Manufacturing Index
KEY DATA: ISM: +2.7 points; Orders: up 3.7 points: Employment: +1.6 points
IN A NUTSHELL: "The services sector is bouncing back rapidly and since that is the largest part of the economy, it looks as if strong growth is just about here."
INDICATOR: Second Quarter Employment Cost Index and Weekly Jobless Claims
KEY DATA: ECI (Private, Year-over-Year)): +2.0%; Wages: +1.8%; Benefits: +2.5%/Claims: 302,000 (up 23,000)
IN A NUTSHELL: "Wage and benefits pressures are barely starting to accelerate even as the labor market continues to strengthen."
Indicator: July 29, 30 '14 FOMC Meeting
In a Nutshell: "...a range of labor market indicators suggests that there remains significant underutilization of labor resources."
Rate Decision: Fed funds rate maintained at a range between 0% and 0.25%
INDICATOR: May Case-Shiller Home Prices and July Paychex Small Business Hiring
KEY DATA: Case Shiller (Monthly): -0.3%; Annual: +9.3%/Paychex: up 0.3%
IN A NUTSHELL: "Small businesses are hiring but the improving labor market conditions are not translating into booming home sales or prices."
KEY DATA: Sales: down 8.1%; Jobless Claims: 284,000 (down 19,000)
IN A NUTSHELL: "The labor market may be getting better but wage gains are not and until that happens, families will not be buying new homes at any great pace."
INDICATOR: June Retail Sales and Import Prices
KEY DATA: Retail Sales: +0.2%; Excluding Vehicles: +0.4%/Import Prices: +0.1%; Excluding Fuel: -0.1%
IN A NUTSHELL: "Consumer exuberance remains restrained and that raises questions about how strong the economy can or will grow."
INDICATOR: May Job Openings and Labor Turnover Survey
KEY DATA: Openings: +171,000; Hiring: -52,000; Quits: +60,000
IN A NUTSHELL: "Rising openings and increasing labor turnover is another sign that the labor market is improving rapidly."