What to expect in the week ahead (BBY, CHWY, HPQ, LULU)

The main event on the economic calendar will be Friday's release of the August employment report by the Bureau of Labor Statistics. Economists on average are forecasting a gain of 270,000 jobs, and for the unemployment rate to remain at 3.5%.

The Federal Reserve Bank of Dallas releases its Texas Manufacturing Outlook Survey for August. Consensus estimate is for a negative 12.3 reading, about 10 points better than in July. Four of the five regional federal reserve bank surveys of business conditions have had at least one negative print in the past two months, portending a significant slowdown in the manufacturing sector. Earlier this month, the New York Fed’s Empire State Manufacturing Survey posted its second-largest-ever decline.

The Bureau of Labor Statistics releases the Job Openings and Labor Turnover Survey. Economists forecast 10.3 million job openings on the last business day in July, almost 400,000 fewer than in June. Job openings remain elevated historically but are off their peak of 11.9 million from earlier this March.

S&P CoreLogic releases its Case-Shiller National Home Price Index for June. Home prices are expected to jump 19.5% year over year, after increasing 19.7% in May. New- and existing-home sales have plummeted this year, but home prices remain near record highs.

The Conference Board releases its Consumer Confidence Index for August. The consensus call is for a 96.5 reading, about one point more than July’s 95.7 figure. The index has declined for three consecutive months.

ADP releases its National Employment Report. Economists forecast that the economy added 250,000 nonfarm jobs in August. ADP has changed its methodology, complicating comparisons with recent months.

The Institute for Supply Management releases its Chicago Business Barometer for August. Economists forecast a 51 reading, roughly one point less than in July. July’s 52.1 reading was the lowest for the index since August 2020.

The Census Bureau reports construction spending data for July. Total spending is seen rising 0.2% month over month to a seasonally adjusted annual rate of $1.77 trillion. Construction spending declined 1.1% in June, the first drop since last September.

The BLS releases the jobs report for August. Expectations are for nonfarm payroll employment to increase by 270,000, after a gain of 528,000 in July, which was more than double forecasts. The unemployment rate is seen remaining unchanged at a near-record-low 3.5%.