Last week, U.S. economic indicators showed a complex situation, triggering close attention from the market regarding the future direction of the Fed's monetary policy. Retail data indicated widespread growth in consumption, with auto sales and online promotions playing a significant role. However, the consumer confidence index unexpectedly declined for the first time in nearly four months, while inflation expectations rose, reflecting the uncertainty in the economic outlook.

The inflation data released in July also conveys conflicting signals. The Consumer Price Index (CPI) and Producer Price Index (PPI) seem to diverge in their assessment of whether the economy can withstand the impact of comprehensive import tariffs. Notably, both indicators show that inflation in the service sector remains stubborn, with the PPI's month-on-month rise reaching a three-year high, which undoubtedly increases the difficulty of decision-making.

There are significant disagreements within the Fed regarding whether interest rates should be cut in September. Against this backdrop, several Fed officials will be speaking this week, and the market will closely follow their remarks for clues about the direction of monetary policy. Among them, Fed Governor Waller will speak at a blockchain seminar in Wyoming, and Atlanta Fed President Bostic will also share his views on the economic outlook.

In addition to official speeches, a series of important economic data will be released this week, including initial jobless claims, the Philadelphia Fed manufacturing index, and the S&P Global manufacturing and services PMI preliminary values. This data will provide the market with more information about the health of the economy.

On Friday, all eyes will be on the Jackson Hole Global Central Bank Conference, where Fed Chairman Powell's speech is undoubtedly the highlight that everyone is looking forward to. His remarks may provide the market with important clues regarding the Fed's assessment of the current economic situation and the future direction of monetary policy.

In the context of mixed economic data and differing opinions among policymakers, market participants will closely follow every detail in hopes of finding direction in this uncertain environment.