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Analysts expect the headline inflation number to edge higher than June, but prices have cooled significantly since last year. The report is likely to be a key consideration for the Federal Reserve when it next meets in September to decide the next move on interest rates.
Futures markets expect the Fed will hold steady in September after raising rates by a quarter of a percentage point in July.
After that, the Fed could make one more move this year. But it has said it would be guided by the data.
In addition to July’s inflation reading, investors will get data on wholesale inventories, crude supplies, and unemployment claims for the latest week.
Earnings this week include reports from Eli Lilly, UPS and Walt Disney (NYSE:DIS).
Here are three things that could affect markets tomorrow:
1. Small business optimism
The NFIB small business optimism report is due out at 6:00 ET (10:00 GMT). Analysts expect a reading of 90.6 versus the 91 previously.
2. Eli Lilly earnings
Analysts expect drugmaker Eli Lilly and Company (NYSE:LLY) to report earnings per share of $1.98 on revenue of $7.6 billion.
3. UPS earnings
Logistics giant United Parcel Service Inc (NYSE:UPS) is expected to report earnings per share of $2.50 on revenue of $23B.
