Last week European officials continued to develop to hammer out a plan to solve the region’s debt crisis. There was also quite a bit of economic data to digest. Growth in the service sector slowed in November to a 52 reading as employment declined sharply, consumer credit rose by 7 point 6 billion dollars as consumers bought more cars… and new claims for jobless benefits fell by 23-thousand to 381- thousand, its lowest level since February. In the week ahead investors await data on interest rates, production and inflation.
The Federal Reserve will meet to discuss the economy and interest rates. During their November meeting the Fed left its key interest rate – which affects mortgage, credit card and student loan rates – unchanged and announced it would continue “Operation Twist” to bring down mortgage rates and spur the economy.
We’ll gain insight on the economy with the November industrial production report – which tracks activity in manufacturing, mining and utilities. In October industrial production rose by 7 tenths of one percent as auto production remained strong, but utility usage declined a bit.
We’ll get a read on inflation with the November consumer price index report – which tracks price changes for food, clothing and energy – in October consumer prices declined slightly due to a sharp drop in gas prices, food prices tapered off as well.
And that’s your CNBC Market look ahead for theGrio.com. I’m Shartia Brantley.