October 15, 2011
Earnings reports, in particular from a handful of big banks, will draw investors’ attention next week. Tech giant Apple’s ( NASDAQ : AAPL) earnings are also due, the report arriving in the immediate aftermath of the untimely death of co-founder and long-time chief executive Steve Jobs . Industry leaders Bank of America (NYSE: BAC), Goldman Sachs (NYSE: GS), Citigroup (NYSE: C), Morgan Stanley (NYSE: MS) and Wells Fargo (NYSE: WFC) are all scheduled to report earnings. Each bank has its own story, none more compelling perhaps than Bank of America, which is facing problems on a number of fronts, not least backlash from customers angry about the bank’s plan to apply a $5 monthly fee for using debit cards. The rest, with the ever-dominant Goldman a likely exception, could be hampered by the difficult economy, which has dampened enthusiasm for the kind of big corporate deals for which these banks earn big fees. Apple’s new chief executive, Tim Cook , if he participates in the company’s earnings conference call, could face questions on the direction he intends to take Apple as competition in the consumer gadgets sector gets ever more intense. Earnings from bellwether companies IBM (NYSE: IBM) and Coca-Cola (NYSE: KO) are also due. Inflationary data comes out with the Producer Price Index released Tuesday and the Department of Labor’s September Consumer Price Index out Wednesday. The Federal Reserve has said repeatedly that inflation is a potential concern in the near future, but is not currently a high priority. Gas and food prices have leveled off somewhat since rising sharply earlier this year primarily due to catastrophic events worldwide. Data on September housing starts is due Wednesday. Many economists believe a broad and sustained economic recovery will begin with the housing sector. A glut of inventory and skittish buyers have hurt demand for months. Those dynamics aren’t likely to have changed in September. Existing home sales figures are due Thursday. Also on tap for next week is a report from European fiscal leaders on how to deal with Greek’s overwhelming debt. Any news out of Europe regarding the Greek debt crisis has drawn an immediate response from Wall Street , with good news prompting rallies and bad news prompting sell-offs. Originally posted here: Week Ahead: Bank Earnings and Inflation Data
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June 25, 2011
Most investors next week will undoubtedly be looking forward to the long July Fourth holiday weekend. Everyone could use a breather after weeks of bad economic news and stock market losses. Nevertheless, a good bit of economic data will be released. The ISM Manufacturing Index for June is due Friday and it may be the most significant report all week. The ISM index is the most widely watched factory report and it follows closely in the wake of disappointing regional manufacturing data. Economists expect the index to fall to 51.8 in June from 53.5 in May. For months manufacturing had been a lone bright spot on an otherwise grim economic landscape. But that may be changing; the regional data was impacted by bad weather across many regions of the U.S. — notably tornadoes and flooding in the Midwest — which disrupted supply chains. Three Federal Reserve District Bank surveys of manufacturing are due ahead of the ISM report and they should give a preview of what’s to come on a national scale. The Dallas Fed’s Texas Manufacturing Outlook is due Monday and it may offer the most optimistic view. The Richmond Fed’s Survey of Manufacturing is due Tuesday and the Kansas City Fed Manufacturing Survey is due Thursday. The Chicago Purchasing Managers index, used to gauge demand for goods made in factories, is due on Thursday. Consumer spending and personal income data for May are due on Monday. Meanwhile, more bad news is expected from the housing sector. The S&P/Case-Shiller Home Price Index for April is due Tuesday and the numbers are expected to show a continued decline in home values. Pending home sale data for May is due Wednesday. The U.S. housing sector has been just as stubborn as the labor market in its refusal to participate in a recovery. Consumer confidence has been rocked as homeowners see the value of their homes decline and with it the equity that provided a cushion against financial emergencies. Speaking of consumer confidence, the Conference Board’s Consumer Confidence Index will be released Tuesday and the final take on the Reuters/University of Michigan Consumer Sentiment Index is due Friday. The only hope for an increase in these indexes stems from a slight drop in gas prices as oil prices have dipped in recent weeks to around $90 a barrel from over $110 a barrel in the spring. Car makers on Friday will release figures on June sales of North America-produced motor vehicles. See the original post: Week Ahead: Lots of Data Ahead of July 4th Holiday
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