CMC Markets Weekly Report

The Dow finished 17 points, or 0.2% higher at 9171, while the S&P 500 was up 0.73% at just past 987, but the Nasdaq couldn't keep pace, ending 0.3% lower after a big day on Friday.

The US GDP report had been hanging over investors all week and stocks shot out of the gate on Friday morning, riding a wave of renewed optimism after the US GDP read came in better than forecast at negative 1%.

It was the best July in decades and both the Dow and S&P 500 finished at fresh 2009 highs, just above the more than 9-month highs hit on Thursday.

After a quick dart higher in the first half hour, the enthusiasm waned as the US consumers numbers came in worse than expected proving that the US consumers are keeping a tight grip on their wallets, raising a lot of questions about the speed of any recovery.

This week ahead is a big one for Australia and the US.

On Monday we will have ANZ job adds for July showing us the state of current unemployment and the AIG performance of Manufacturing Index. In the US we will see construction spending for the month of June.

On Tuesday the RBA will make a decision on interest rates, we will also see second quarter house prices and the retail trade figure for June. In the US we see the July vehicle sales figure, Income and consumption numbers for June and pending home sales also for June.

On Wednesday in Australia we have numbers out for June international trade and the AIG Performance of Services Index for July. In the US we have July figures for ISM non-manufacturing as well as the ADP employment figure. The June US factory orders number will also help show a clearer picture of the speed of economic recovery.

On Thursday we see the July labour force figure for Australia.

On Friday all eyes will be watching the RBA statement on monetary policy and in the US we will see numbers for July payrolls and June consumer credit.