Updated
Updated · CNBC · Jul 12
Major US Banks Kick Off Q2 Earnings as June CPI Tests 3.8% Inflation Path
Updated
Updated · CNBC · Jul 12

Major US Banks Kick Off Q2 Earnings as June CPI Tests 3.8% Inflation Path

3 articles · Updated · CNBC · Jul 12

Summary

  • Tuesday opens a pivotal week for markets, with JPMorgan, Bank of America, Citigroup, Wells Fargo and Goldman Sachs launching second-quarter earnings just as the June CPI report lands at 8:30 a.m. ET.
  • The overlap matters because investors want both real-time bank commentary on consumer spending, dealmaking and credit conditions and fresh inflation data expected to show CPI slowing to 3.8% year over year from 4.2% in May.
  • Wells Fargo and Goldman Sachs report before the bell, with Wells under pressure to restore consistent beats and sustain 17% to 18% ROTCE, while Goldman is expected to show strength from a busy IPO and M&A backdrop.
  • Wednesday adds June PPI—seen at 6.2% annually—and Johnson & Johnson earnings, while later reports from J.B. Hunt, United Airlines and Netflix should extend the read-through on consumer and business demand.
  • Oil's drop from the low $90s in early June to just below $70 by month-end could ease backward-looking inflation, but renewed US-Iran tensions and slower Hormuz tanker traffic keep the outlook for prices and Fed policy unsettled.

Insights

With Mideast tensions and high diesel costs, will the average American's wallet feel any relief even if headline inflation slightly cools?
Can the AI-fueled stock market rally continue if the Federal Reserve raises interest rates to combat persistent inflation this year?
As AI boosts corporate profits, are we heading towards a future with fewer entry-level jobs for the next generation of workers?