Economic output, Nike earnings, Rite Aid: 3 things to watch

Investing.com -- Stocks were mixed on Wednesday after Federal Reserve Chair Jerome Powell wouldn't rule out more interest rate increases, telling an audience in Portugal that he didn't see rates getting back to the 2% target this year or next year.

That date might not be until 2025, Powell said, meaning the Fed will continue to battle the forces of inflation until at least then.

Futures traders are betting on the probability that the Fed will raise rates another quarter of a percentage point when it meets in July, even though it took a pause on rate increases this month.

Investors are looking to the May inflation data that is due out on Friday. The report, on the personal consumption expenditures index, could help guide the Fed's decision in July. That and the jobs report for June, which is due out at the end of next week will make up two big data points for policy makers to consider.

Once July starts, another round of earnings reports begins. Investors will be listening to the guidance of corporate executives on what they see as trends for the rest of 2023.

Here are three things that could affect markets tomorrow:

1. Economic output

Another reading of the first quarter's gross domestic product growth is due out at 8:30 ET (12:30 GMT). Analysts expect a reading of 1.4%.

2. Nike earnings

The athletic apparel maker Nike Inc (NYSE:NKE) is expected to report earnings per share of 68 cents on revenue of $12.58 billion.

3. Rite Aid earnings

Drug store retailer Rite Aid Corporation (NYSE:RAD) is expected to report a loss per share of $1.13 on revenue of $5.3B.