This week, we’ll get several key updates on inflation, jobs, and home prices in the U.S., as well as results from companies including Pinduoduo, Hewlett Packard, Best Buy, Salesforce, Broadcom, UBS, Dell Technologies, and Lululemon Athletica. The latest Job Openings and Labor Turnover Survey (JOLTS) report for July will come out on Tuesday, followed by ADP’s National Employment Report on Wednesday, and the Labor Department’s August nonfarm payrolls report on Friday. The Case-Shiller National Home Price Index for June will come out on Tuesday. On Thursday, the Bureau of Economic Analysis (BEA) will release its Personal Consumption Expenditures (PCE) Price Index—the Fed’s preferred inflation gauge—for July.

The Latest Jobs Figures
We’ll get the latest updates on the labor market this week, starting on Tuesday with the July Job Openings and Labor Turnover Survey (JOLTS), which tracks the number of job openings, hires, quits, and separations for a given month. Openings are projected to have fallen to 9.57 million last month, down slightly from 9.58 million in June. On Wednesday, payroll provider ADP will release its National Employment Report for August, tracking growth in private sector payrolls. Private employers likely added 280,000 jobs this month, down from 324,000 in July. This will set the stage for the August nonfarm payrolls report on Friday. U.S. employers likely added 180,000 jobs over the past month, down slightly from 187,000 in July. This would mark the smallest gain since a decline of 268,000 jobs in December 2020, indicating that the Fed’s rate hikes are having an effect in cooling the labor market. The unemployment rate is projected to hold steady at 3.5%.

Update on Home Prices
On Tuesday, we’ll get the latest updates on home prices with the Case-Shiller National Home Price Index and FHFA House Price Index for June. Prices as tracked by the Case-Shiller Index likely rose 1.3% in June, as prices rebounded for the fifth straight month despite rising mortgage rates and low affordability. Year-over-year, they were likely down 1.1%, less than the 1.7% annual decline recorded in May.

The Fed’s Preferred Inflation Gauge
Later in the week, the Bureau of Economic Analysis (BEA) will release the Personal Consumption Expenditures (PCE) Price Index—the Fed’s preferred inflation gauge—for July. Prices are projected to have risen 0.2% last month and were likely up 3.2% year-over-year, accelerating from 3% in June. Core prices, which exclude volatile food and energy costs, likely also rose 0.2% from June, and 4% from a year ago. The Federal Reserve targets a 2% annual rate of core inflation.