WEC Energy Group's electric and gas utility businesses serve electric and gas customers in Illinois, Michigan, Minnesota, and Wisconsin service territories. The company also owns a 60% stake in American Transmission Co. WEC's asset mix is approximately 48% electric generation and distribution, 36% gas distribution, 10% electric transmission, and 6% unregulated renewable energy.

WEC Energy Group's electric and gas utility businesses serve electric and gas customers in Illinois, Michigan, Minnesota, and Wisconsin service territories. The company also owns a 60% stake in American Transmission Co. WEC's asset mix is approximately 48% electric generation and distribution, 36% gas distribution, 10% electric transmission, and 6% unregulated renewable energy.

WEC Energy Group, based in Milwaukee, is a 98%-regulated energy company serving 4.7 million utility customers in Wisconsin (about 65% of customers), Illinois (17%), Minnesota (5%) and Michigan (5%). The company generates and distributes electricity and delivers natural gas. It has over 15 utility subsidiaries, primarily We Energies, Wisconsin Public Service, Peoples Gas, North Shore Gas, Michigan Gas Utilities, Minnesota Energy Resources, and Upper Michigan Energy Resources. Its other major subsidiary, We Power, designs, builds, and owns electric generating plants. WEC's revenue by business has been approximately 75% regulated electricity generation and distribution and 22% regulated natural gas distribution. In 2023, about 14% of MWh sales were for resale customers and 4% were for wholesale, while 33% were to large industrial customers. WEC is heavily dependent on the Wisconsin economy and the dairy industry. The company's 2022 fuel mix for electric generation was 32% coal, 37% natural gas, 22% nuclear, and 8% renewables. It plans to reduce carbon emissions by 80% and stop using coal as a primary fuel source by 2032, in line with many peers, and to eliminate methane emissions by 2030. The company's market cap is about $27 billion.

Many of the most-prominent economists in the country, including Federal Reserve Chairman Powell, head to Jackson Hole this week. Meanwhile, a few more key earnings report are due. Last week, the Dow Jones Industrial Average was up 2.9%, the S&P 500 gained 3.9%, and the Nasdaq popped 5.3%. Year to date, the DJIA is higher by 8%, the S&P is up 16%, and the Nasdaq is ahead by 17%. On the economic calendar, the schedule is light this week. On Friday, Mr. Powell takes the podium in Jackson Hole. A good amount of data about inflation and labor has hit the tape since he last spoke publicly, so his speech this week should get attention. In related news, the minutes from the Fed's July rate meeting will be out on Wednesday, and Existing Home Sales will be reported on Thursday. The earnings calendar is light, but does include some big reports. On Monday Palo Alto Networks and Estee Lauder will report. On Tuesday, Lowe's, Toll Brothers, and Medtronic. On Wednesday, Target, TJX Companies, Macy's, Analog Devices, and Agilent. And on Thursday, Intuit, Peloton, and CAVA. Earnings are coming in 12.5% higher this quarter than a year ago, this after 93% of S&P 500 companies have reported. Financial and Healthcare are the leading sectors, both up 20% for the quarter compared to the same quarter last year. Materials is on at other end, down 6%. Expectations were for 8%-12% earnings growth in 2Q. Last week, data on inflation continued to show improvement. CPI posted at 2.9% for July compared to 3.0% for June. Core CPI was 3.2% versus 3.3% the month prior. Mortgage rates inched up two basis points (bps) to 6.49% for the average 30-year fixed-rate mortgage. Gas prices fell four cents to $3.41 per gallon for the average price of regular gas. The Atlanta Fed GDPNow indicator is forecasting for 3Q and calls for expansion of 2.0%. The Cleveland Fed CPINow indicator forecasts 2.6% for August CPI. Looking ahead, the next Fed rate decision is on September 18, with odds at 100% for a rate cut. Of that, 75% expect a 25-bps cut and 25% look for a 50-bps cut. There are two more Fed rate meetings this year, the first on November 7 (just after the U.S. presidential election) and the second on December 18. We have adjusted our rate forecast and now expect three rate cuts this year (up from two) for a total of 75 bps. We see two rate cuts in 2025. We expect all the cuts to be 25 bps.