Tuesday: CPI, Homebuilder Confidence

From the NY Times: Push for Yellen To Lead at Fed Gathers Steam

Janet L. Yellen told friends in recent weeks that she did not expect to be nominated as the next chairman of the Federal Reserve. Although she had been the Fed’s vice chairman since 2010 and would make history as the first woman to hold the job, President Obama’s aides made clear throughout the summer that he wanted Lawrence H. Summers, his former chief economic adviser.

... the president’s advisers insisted throughout the summer that Mr. Obama was not averse to Ms. Yellen but simply more comfortable with Mr. Summers, a former Treasury secretary to President Bill Clinton who was Mr. Obama’s chief White House economic adviser through the height of the financial crisis and recession in 2009 and 2010. ...

I expect Yellen to be nominated for Fed Chair, probably next week.

Tuesday:
• 8:30 AM ET, the Consumer Price Index for August will be released. The consensus is for a 0.1% increase in CPI in August and for core CPI to increase 0.2%.

• At 10:00 AM, The September NAHB homebuilder survey. The consensus is for a reading of 59, the same as in August. Any number above 50 indicates that more builders view sales conditions as good than poor.