A look at some of the key business events and economic indicators coming this week:
ESSAY OF RESIDENTIAL CONSTRUCTION
New government data on housing construction should provide insight into the state of the new housing market.
The Commerce Department is expected to report on Tuesday that builders started building new apartments and single-family homes last month at a seasonally adjusted annual rate of about 1.45 million units. This will be a small increase compared to July. Builders are facing rising costs, production bottlenecks and slowing demand amid sharply higher mortgage rates than a year ago.
Start of housing construction, monthly, annual rate, taking into account seasonality:
1,805,000 in April
1,562,000 in May
1,599,000 in June
1,446,000 in July
August (estimate) 1,450,000
THE FED IS SPEAKING
The Federal Reserve is set to release an update on interest rate policy after a two-day meeting of its policymakers.
At its last meeting in July, the central bank raised its key short-term interest rate by a significant three-quarters of a point for the second time in a row, the most aggressive move in more than three decades to curb high inflation. Economists and Wall Street traders expect the central bank to raise rates again by three-quarters of a point on Wednesday.
FedEx reports its first fiscal quarter results on Thursday.
The parcel delivery service recently warned investors that profits for the June-August quarter were likely to miss forecasts due to a drop in business. It is also closing storefronts and corporate offices and expects further deterioration in business conditions, which will weigh on results for the current quarter.