Weekly Market Preview Summary
Author: Michael J. Kramer, Mott Capital Management Founder
Date: 20 June 2025
Overview
As three major central bank rate decisions have concluded, market focus is shifting towards increasing geopolitical tensions in the Middle East, which may exert upward pressure on energy prices, particularly oil. Despite this, a wealth of economic data is expected, alongside Micron Technology's earnings report, which may reignite interest in the AI sector.
Key Events for the Week
Global PMI Surveys - Monday, 23 June
The global economy has shown resilience despite a rocky start to 2025. Upcoming PMI data could indicate that the US economy is not deteriorating as much as anticipated, potentially affecting the GBP/USD exchange rate. The pair has recently broken below a rising channel and is testing support at 1.344, with a possibility of further decline towards 1.308.
Micron Technology Q3 Results - Wednesday, 25 June
Micron is expected to report a significant increase in earnings, with projections of $1.59 per share, up from $0.62 a year ago, and a revenue increase to $8.85 billion. Investors will be keenly watching gross margins, which are expected to slip slightly. The stock's performance post-earnings is anticipated to be volatile, with options positioning indicating bullish sentiment, although resistance levels may limit further upside unless results exceed expectations.
US PCE - Friday, 27 June
The core personal consumption expenditure (PCE) index is expected to show a modest increase of 0.1% month-on-month. However, if inflation data comes in stronger than expected, it could reignite inflation concerns, particularly affecting gold prices, which have been trending upwards.
Economic and Company Events Calendar
- Monday, 23 June: Global PMI data, Factset Research Systems Q3 results.
- Tuesday, 24 June: Canadian CPI, US consumer confidence, various earnings reports.
- Wednesday, 25 June: Micron Technology Q3 results, new home sales data.
- Thursday, 26 June: Durable goods orders, GDP data, various earnings reports.
- Friday, 27 June: US PCE index, Michigan consumer sentiment.
Conclusion
As the week unfolds, investors should remain vigilant regarding geopolitical developments, economic data releases, and corporate earnings, particularly from Micron Technology, which could significantly influence market sentiment and trading strategies.