High volatility expected in 2 days on Thursday at 8:30 am EST with Core PCE and GDP data, crucial for rate expectations. Fed Chair Powell speaks this Sunday at 8:30 pm EST, followed by Monday's ISM Manufacturing PMI at 10:00 am EST. Multiple Fed officials speak throughout Wednesday and Friday. With recent inflation concerns, these metrics will clarify the "higher for longer" narrative. Monitor $SPY and $DXY for sharp moves around these top-tier releases.
Traders should tighten stop-losses ahead of Thursday's PCE print, as a hot reading could trigger a dollar rally and pressure equities. Consider defensive positioning or volatility plays like $VIX options before Powell's Sunday night address. Use the Monday PMI data to gauge industrial demand and potential recessionary signals.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.