European Debt Crisis Impacts Wall Street

With the Federal Reserve due to meet on 20 September, investors will be examining the Consumer Price Index (CPI) from the Commerce Department on Thursday. As the economy’s primary inflation gauge, the CPI will reveal whether the US economy is showing signs of deflation, in which case the Fed may launch QE3 – a third round of quantitative easing. Friday saw the Dow declining more than 2 percent, with Nasdaq dropping 0.5 percent and the S&P slipping 1.7 percent. Markets are expected to remain volatile in the weeks ahead.

Of interest to investors on Monday will be Bank of America CEO Brian Moynihan’s presentation at the Barclays investor’s conference being held in New York. Tuesday includes quarterly earnings from Best Buy (NYSE:BBY) and statistics on August’s import and export prices. The Commerce Department will be releasing its Producer Price Index (PPI) and core PPI on Wednesday, as well as a report on retail sales for August. The July reading on business inventories is also due on Wednesday.

The CPI, Empire Manufacturing survey and weekly report on claims for jobless benefits are all due on Thursday. Also due on Thursday, but after markets close, is the earnings report from Research in Motion, the makers of BlackBerry. Friday sees the release of the consumer sentiment reading from the University of Michigan.