Here’s what to expect in the week ahead:
The White House will release its 2019 budget request on Monday, but the big spending bill passed by Congress and signed by President Trump on Friday morning means that the outline of the Trump administration’s spending priorities is largely seen as irrelevant.
The White House budget office said on Friday that it would modify its request to reflect the new budget cap levels established by the agreement reached in Congress. The budget request will also come with an “addendum” that will offer guidance to “account for the increased spending caps in a responsible manner.”
The budget addendum will also come with a “limited set” of administrative priorities and ideas for fixing budget gimmicks that the administration says are being used to circumvent the spending caps. Alan Rappeport
President Trump is expected to unveil on Monday his plan to rebuild, restore and modernize the nation’s aging infrastructure. As one of the administration’s main legislative ambitions, the $1.5 trillion proposal is expected to include upgrades to public works like roads, bridges, railways and airports. The plan calls for $200 billion in federal spending over the next decade to spur, administration officials said, an additional $1.3 trillion in spending from cities, states and private companies. Will Dudding
Last week’s stock-market sell-off was driven in part by investor fears that the improving economy and tightening labor market could lead to faster inflation. That, in turn, could force the Federal Reserve to raise interest rates faster than planned, slowing the economy and hurting stock prices.
On Wednesday, the Bureau of Labor Statistics will give investors new evidence to consider when it releases data on consumer prices in January. Economists surveyed by Bloomberg expect the report to show that the annual rate of inflation slowed to start the year despite an increase in oil prices (which has since partly reversed). A surprise uptick in consumer prices, however, could suggest that inflation fears are well-founded and add to the recent market turmoil. Ben Casselman
The Commerce Department is scheduled on Wednesday to report retail sales in January. While the first month of the year can typically be slow after the Christmas rush, economists and investors will be watching to see whether consumer sentiment dipped after a robust holiday season, when shoppers came out in droves both online and in stores. Michael Corkery
The European aircraft manufacturer Airbus will brief investors Thursday on its earnings in the fourth quarter of 2017. Analysts have a generally positive view of the company’s prospects because of a large backlog of orders, and because sales of newer designs like the A350 wide-body passenger jet are gaining momentum. The A380 super jumbo, whose future was in doubt because of poor sales, won a reprieve last month after Emirates ordered 36 planes. Jack Ewing