What will drive the markets this week?
With the exception of the US, global stocks were mostly higher on Friday last week with equities in Asia recording the most gains thanks to China’s inflation update and the upward movement in Wall Street a day earlier. Stocks on Wall Street fell following a dismal week in US stocks. Treasury yields were also higher after data on U.S. producer prices raised conflicting views, stirring hope of moderating inflation but also fears the Federal Reserve will need to keep interest rates higher for longer.
This week’s spotlight will be on Tuesday’s latest inflation figures and the Fed’s two-day policy meeting, with central bankers expected to announce an interest rate decision and near-term projections for the U.S. economy on Wednesday. On Thursday, the U.S. Census Bureau will also report on November retail sales, indicating whether consumer spending remained solid last month. On Friday, S&P Global will release the flash estimate for its Composite Purchasing Managers’ Index (PMI) for December.
Events expected to influence financial markets in the week
Monday, December 12, 2022
- Oracle Corp. (ORCL), Coupa Software Ltd. (COUP), and Fluence Energy Inc. (FLNC) report earnings
- Consumer Inflation Expectations (Nov)
Tuesday, December 13, 2022
- Core & Main Inc. (CNM), ABM Industries (ABM), and Braze Inc. (BRZE) report earnings
- Consumer Price Index (CPI) Inflation Rate (Nov)
- IBD/TIPP Economic Optimism Index (Dec)
- NFIB Business Optimism Index (Nov)
- Day 1 of FOMC Policy Meeting
Wednesday, December 14, 2022
- Lennar Corp. (LEN), Trip.com Group (TCOM), and Nordson Corp. (NDSN) report earnings
- Import Prices (Nov)
- Export Prices (Nov)
- Day 2 of FOMC Policy Meeting; Interest Rate Decision and Press Conference
Thursday, December 15, 2022
- Adobe Inc. (ADBE), Jabil Inc. (JBL), and Scholastic Corp. (SCHL) report earnings
- U.S. Retail Sales (Nov)
- U.S. Industrial Production (Nov)
- Philadelphia Fed Employment Index (Nov)
- Philadelphia Fed Manufacturing Index (Dec)
- NY Empire State Manufacturing Index (Dec)
- Business Inventories (Oct)
- Retail Inventories (Oct)
Friday, December 16, 2022
- Accenture PLC (ACN), Darden Restaurants (DRI), and Winnebago Industries (WGO) report earnings
- S&P Global Composite PMI - Flash Estimate (Dec)