Banks: Analysts expect that when major US banks Citigroup, JPMorgan Chase and Wells Fargo release second-quarter earnings before the bell, they will report significant losses on loans marked as unrecoverable — known as “charge-offs”. But a bright spot for Citi and JPMorgan could be a recovery in investment banking fees, given the recent revival in dealmaking. BNY Mellon will also report results before the market opens.
Inflation: The producers’ price index, an inflation indicator that tracks wholesale prices, is expected to have risen 2.3 per cent on an annual basis last month, up from 2.2 per cent in May and compared with 1.1 per cent in the same period last year. The core reading, which excludes volatile food and energy costs, is forecast to come in at 2.5 per cent year-on-year in June, slightly higher than the 2.4 per cent the previous month.
Consumer sentiment: Economists polled by Reuters expect a small improvement in the University of Michigan’s consumer sentiment index, up to 68.5 from 68.2 the previous month.
