This week's economic calendar features pivotal U.S. employment and inflation data, with expectations for a 200,000 jobs gain and a 3.1% year-over-year core inflation rate. Investors also turn to earnings from Lennar, General Mills, Micron Technology, and Nike amid growing macro uncertainty.
- November nonfarm payrolls forecast: 200,000 jobs added
- Core CPI expected to hold at 3.1% year-over-year
- Lennar (LEN) EPS forecast: $4.65, revenue: $5.8B
- Micron (MU) EPS forecast: $2.15, revenue: $8.6B
- Nike (NKE) EPS forecast: $1.14, revenue: $12.2B
- 30-year fixed mortgage rate near 7.2%, impacting housing sector
The U.S. labor market and inflation outlook take center stage this week as markets await the November jobs report and the November Consumer Price Index (CPI). Economists forecast a 200,000 increase in nonfarm payrolls, a slight uptick from the prior month’s 187,000, while the core inflation rate is expected to hold steady at 3.1% year-over-year, excluding food and energy. These figures will influence Federal Reserve rate path expectations, with a potential pause in rate hikes now priced into markets, though further tightening remains possible if inflation persists above target. Lennar Corporation (LEN) is set to report fourth-quarter earnings on Tuesday, with analysts projecting adjusted earnings per share of $4.65 on revenue of $5.8 billion. The homebuilder’s performance will reflect ongoing housing demand amid elevated mortgage rates, with the average 30-year fixed rate hovering around 7.2%. Similarly, Micron Technology (MU) reports results on Wednesday, with consensus forecasting $2.15 in EPS and $8.6 billion in revenue. Demand for memory chips remains sensitive to AI-driven data center investments and consumer electronics cycles. General Mills (GIS) and Nike (NKE) both deliver earnings on Thursday. GIS is expected to post $2.15 EPS and revenue of $5.5 billion, with investors monitoring pricing power and cost management amid inflationary pressures. Nike is projected to report $1.14 in EPS and $12.2 billion in revenue, with growth in international markets and direct-to-consumer sales key indicators. These reports will help gauge broader consumer resilience and corporate margins in a high-rate environment. Market reactions are likely to be swift, with bond yields, equity indices, and the U.S. dollar potentially shifting on data and earnings surprises. Financials, industrials, and consumer discretionary sectors may see heightened volatility. Investors will also track whether Fed officials’ comments in the coming days align with the latest economic signals.