The week ahead has limited economic data. Durable goods were down 1.1% for May and likely fell on weaker demand for airplanes. Personal Income will be reported on Friday, and I expect it will likely remain solid, as there is not much employment slack left in the economy.
The Senate healthcare bill will be the main focus for the week ahead as markets watch for a vote. The passage of legislation would keep optimism of the Republicans' ability to pass its pro-growth policies and support risk markets.
I expect the stock market to continue to grind higher into quarter-end and interest rates to increase modestly. There is a lack of a trend-changing catalyst in this environment and I believe markets will trade accordingly.
Enjoy the 4th of July holiday and following the holiday weekend, watch the June employment report, slated for Friday July 7th, for signs that low unemployment is pushing up wages.
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