The Week Ahead: A Verdict on Budgets in Europe and Jobs Data in U.S.

Posted by Unknown on Sunday, June 1, 2014

HTTP/1.1 302 Found Date: Mon, 02 Jun 2014 00:25:38 GMT Server: Apache Set-Cookie: NYT-S=deleted; expires=Thu, 01-Jan-1970 00:00:01 GMT; path=/; domain=www.nytimes.com Set-Cookie: NYT-S=0Mcnrvjj.niSvDXrmvxADeHAF.leH0H8/pdeFz9JchiAIUFL2BEX5FWcV.Ynx4rkFI; expires=Wed, 02-Jul-2014 00:25:38 GMT; path=/; domain=.nytimes.com Location: http://www.nytimes.com/2014/06/02/business/a-verdict-on-budgets-in-europe-and-jobs-data-in-us.html?partner=rss&emc=rss&_r=0 Content-Length: 0 Cneonction: close Content-Type: text/html; charset=UTF-8 HTTP/1.1 200 OK Server: Apache Cache-Control: no-cache Content-Type: text/html; charset=utf-8 Content-Length: 50569 Accept-Ranges: bytes Date: Mon, 02 Jun 2014 00:25:38 GMT X-Varnish: 1928286264 1928285702 Age: 14 Via: 1.1 varnish Connection: keep-alive X-Cache: HIT

Business Day |A Verdict on Budgets in Europe and Jobs Data in U.S.

http://nyti.ms/1pyd91I

Business Day | The Week Ahead

EUROPEAN COMMISSION TO RULE ON STATE BUDGETS

The European Commission, the top policy-making body in the European Union, is expected to give verdicts on Monday on whether budgets for the 28 member states pass muster â€” an annual procedure aimed at preventing future economic crises. Much of the attention is likely to be on whether France has done enough to reform an economy plagued by weak growth and high unemployment, and on whether Italy will be able to take adequate steps to prune its towering national debt. The so-called country specific recommendations represent the first major announcement by the European authority since a raft of anti-E.U. parties made big gains in legislative elections last month, including in France. JAMES KANTER

WALL STREET ANTICIPATES GROWTH IN MANUFACTURING

On Monday, the Institute for Supply Management will announce the reading of its manufacturing index for May. The factory sector has been a bit more robust recently, buoyed by industries like automobiles and aircraft, and Wall Street is expecting the I.S.M. index to rise to 55.5, from 54.9 in April, which would make the May figure the latest in a series of steady gains this year.

NELSON D. SCHWARTZ

CARMAKERS TO REPORT SALES OF NEW VEHICLES

Rebecca Cook/Reuters

Automakers on Tuesday will report new-vehicle sales in the United States for May. Industry analysts expect strong results, as consumer demand for new cars and trucks continues to grow after sluggish sales earlier in the year. General Motors will be watched closely for signs that car buyers are avoiding its brands because of safety recalls. BILL VLASIC

EUROPEâ€™S BANK TO DECIDE ON STIMULUS MEASURES

The European Central Bank is expected to offer a package of measures to stimulate lending in the euro zone economy, including an interest-rate cut and a penalty rate for banks to park money in central bank vaults. But the central bank is not expected to introduce major asset purchases, which many economists say are needed to prevent deflation. Bank officials will make their decision after official inflation data for May and the unemployment figures for April come out on Tuesday. JACK EWING

DATA ON HIRING AND UNEMPLOYMENT

On Friday, the Labor Department will report on job creation and the unemployment rate in May. Economists polled ahead of the release are expecting to see a reasonably healthy gain of 218,000 in payrolls, with the unemployment rate rising by 0.1 percentage point, to 6.4 percent, as more people look for work. But these numbers have been volatile of late. A surprisingly weak showing at the beginning of 2014 was followed by a strong pickup, so Wall Street will be watching the labor market. NELSON D. SCHWARTZ