Monday October 24, 2022: $149.45 +$2.18 +1.48%
Oct 23, 2022 17:36:30 GMT -8
artman1033, platon, and 2 more like this
Post by Dave on Oct 23, 2022 17:36:30 GMT -8
Good Monday morning. The last full week of this month and the week that we have been waiting for, Apple’s earnings report.
Today’s pre-market is red this morning at -0.71% at this moment, Carry on.
What to Expect in the Markets Next Week
Today’s pre-market is red this morning at -0.71% at this moment, Carry on.
What to Expect in the Markets Next Week
The major U.S. equity benchmarks surged over 2% on Friday on strong earnings reports and statements from Federal Reserve officials suggesting the U.S. central bank should avoid tipping the economy into a recession. For the week, the Dow and S&P 500 rose nearly 5%, while the Nasdaq gained over 5%. U.S. Treasury yields continued to rise, with the yield on the 10-year note trading above 4.2%—its highest level in over 14 years. Oil prices were little changed for the week, with the price of West Texas Intermediate (WTI) crude stabilizing near $85 per barrel. Prices were supported by a rebound in economic activity in China as the government eases coronavirus restrictions.
Events Calendar:
Monday, October 24
HSBC Holdings (HSBC), Cadence Design Systems (CDNS), Discover Financial Services (DFS), Alexandria Real Estate Equities (ARE), W.R. Berkley Corp. (WRB), Brown & Brown Inc. (BRO), Sun Communities Inc. (SUI), Packaging Corporation of America (PKG), and Crown Holdings Inc. (CCK) report earnings
Chicago Fed National Activity Index (Sep)
S&P Global Composite PMI - Flash Estimate (Oct)
Tuesday, October 25
Microsoft (MSFT), Alphabet (GOOG), Visa (V), The Coca-Cola Company (KO), Novartis (NVS), United Parcel Service (UPS), Texas Instruments (TXN), Raytheon Technologies (RTX), Chubb Ltd. (CB), General Electric (GE), Canadian National Railway (CNI), 3M Company (MMM), Illinois Tool Works (ITW), Scherwin-Williams (SHW), UBS (UBS), Archer-Daniels-Midland (ADM), General Motors (GM), Valero Energy (VLO), Moody’s Corporation (MCO), Centene Corporation (CNC), Chipotle Mexican Grill (CMG), Twitter (TWTR), Kimberly Clark (KMB), Biogen (BIIB), Enphase Energy (ENPH), MSCI Inc. (MSCI), Halliburton (HAL), Ameriprise Financial Services (AMP), Canon Inc. (CAJ), FirstEnergy (FE), and Spotify (SPOT) report earnings
S&P Case-Shiller National Home Price Index (Aug)
Freddie Mac House Price Index (Aug)
CB Consumer Confidence Index (Oct)
Wednesday, October 26
Meta Platforms (META), Thermo Fisher Scientific (TMO), Bristol-Myers Squibb (BMY), Equinor (EQNR), Automatic Data Processing (ADP), Boeing (BA), ServiceNow (NOW), Waste Management Inc. (WM), Canadian Pacific Railway (CP), General Dynamics (GD), CME Group (CME), Boston Scientific Corp. (BSX), Edwards Lifesciences (EW), Norfolk Southern (NSC), Ford Motor Company (F), O’Reilly Automotive (ORLY), Kraft Heinz (KHC), Banco Santander (SAN), Suncor Energy (SU), Amphenol Corp. (APH), Roper Technologies (ROP), Hess Corporation (HES), KLA Corporation (KLAC), Southern Copper Corporation (SCCO), Hilton Worldwide Holdings (HLT), IQVIA Holdings (IQV), Digital Realty Trust (DLR), Raymond James Financial (RJF), Molina Healthcare (MOH), United Rentals (URI), Arch Capital Group Ltd. (ACGL), Deutsche Bank (DB), and Garmin (GRMN) report earnings
Goods Trade Balance (Sep)
Wholesale Inventories (Sep)
Retail Inventories (Sep)
New Home Sales (Sep)
Thursday, October 27
Apple (AAPL), Amazon (AMZN), Mastercard (MA), Merck (MRK), McDonald’s (MCD), Royal Dutch Shell (SHEL), T-Mobile (TMUS), Linde (LIN), Comcast Corp. (CMCSA), TotalEnergies (TTE), Honeywell (HON), Intel (INTC), Starbucks (SBUX), S&P Global (SPGI), Caterpillar (CAT), Petrobras (PBR), Anheuser-Busch (BUD), American Tower Corp. (AMT), Gilead Sciences (GILD), Altria Group (MO), Northrop Grumman (NOC), Vertex Pharmaceuticals (VRTX), The Southern Company (SO), Fiserv (FISV), Pioneer Natural Resources (PXD), Keurig Dr. Pepper (KDP), L3 Harris Technologies (LHX), American Electric Power Co. (AEP), Republic Services (RSG), Takeda Pharmaceutical Co. (TAK), DexCom Inc. (DXCM), Arthur J. Gallagher & Co. (AJG), Capital One Financial (COF), Shopify (SHOP), Pacific Gas & Electric Co. (PCG), Xcel Energy (XEL), Lloyds Banking Group (LYG), Carrier Global (CARR), Baxter International (BAX), Seagen (SGEN), Willis Towers Watson (WTW), T. Rowe Price Group (TROW), CBRE Group (CBRE), DTE Energy (DTE), Southwest Airlines (LUV), VeriSign Inc. (VRSN), Laboratory Corporation of America (LH), LPL Financial Holdings (LPLA), Pinterest (PINS), First Solar (FSLR), Kimco Realty Corp. (KIM), Zendesk (ZEN ), and U.S. Steel Corporation (X) report earnings
Durable Goods Orders (Sep)
U.S. GDP Growth Rate - Advance Estimate (Q3 2022)
Personal Consumption Expenditures (PCE) Prices (Q3 2022)
Real Consumer Spending (Q3 2022)
Kansas Fed Composite Index (Oct)
Friday, October 28
ExxonMobil (XOM), Chevron (CVX), AbbVie (ABBV), NextEra Energy (NEE), Sanofi (SNY), Charter Communications (CHTR), Colgate-Palmolive (CL), Aon (AON), Church & Dwight Co. (CHD), and Gentex Corporation (GNTX) report earnings
Personal Income and Spending (Sep)
PCE Price Index (Sep)
Wage Growth (Q3 2022)
Pending Home Sales (Sep)
Michigan Consumer Sentiment Index - Final Reading (Oct)
A Big Week for Earnings
Next week could be the busiest of the corporate earnings season. Some of the largest and most prominent multinational companies in the world, including all five of the “FAAMG” companies within the technology sector, are expected to report. Microsoft and Alphabet—the parent company of Google—both report on Tuesday, along with Visa, The Coca-Cola Company, UPS, and many others. Meta Platforms, ADP, Boeing, and Ford Motor Company follow on Wednesday. On Thursday, we can expect earnings from tech giants Apple and Amazon, along with releases from Mastercard, Merck, McDonald’s, T-Mobile, Comcast, Intel, Starbucks, and Caterpillar, among many others. Energy giants ExxonMobil and Chevron report on Friday, along with pharmaceutical firms Sanofi and AbbVie.
So far, about 20% of S&P 500 companies have reported third-quarter earnings. Of the companies reporting so far, 72% have beaten their earnings projections, according to research from FactSet.
The share of companies beating their earnings estimates for the third quarter is slightly below a five-year average of 77%. BlackRock, Netflix, Goldman Sachs, and UnitedHealth Group are among the companies having reported earnings per share (EPS) well above forecasts.
Did the Economy Grow in the Third Quarter?
On Thursday, the Bureau of Economic Analysis (BEA) will release the advance estimate of third-quarter U.S. gross domestic product (GDP), tracking the U.S. economy’s growth rate for the three months ending in September. U.S. GDP is forecasted to have expanded at a 2% seasonally-adjusted annual rate in the third quarter, after contracting 0.6% in the second quarter. A rise in the nation’s GDP would mark the first quarter of growth since the fourth quarter of 2021, following two straight quarters of contraction during the first half of 2022. While two consecutive quarters of declining GDP is often used as a proxy for a recession, economists at the Federal Reserve maintain that the U.S. economy is not currently in a recession, as the labor market and nominal wage growth remain strong.
More Insights on the Housing Market
On Tuesday, S&P Global will release its Case-Shiller National Home Price Index for the month of August. Mortgage originator Freddie Mac will also release its House Price Index (HPI) for the same month, tracking prices of single-family homes. Home prices as tracked by the Case-Shiller Index fell 0.8% in July, recording their first monthly decline since January 2019 as rising mortgage rates and declining affordability weigh on demand. On an annual basis, prices were up 16.1%, far below a record 21.2% growth rate in March. Analysts project the slowdown in the housing market will continue over the coming months, with prices projected to remain unchanged in September.
Market watchers can also expect the latest updates on home sales next week. On Wednesday, the U.S. Census Bureau will report on September new home sales, which are projected to have fallen to 630,000 from 685,000 in August. Sales of newly-built homes have trended lower in 2022 so far, and are down from a recent high of 839,000 in December of last year. On Friday, the National Association of Realtors (NAR) will release pending home sales figures for the prior month. Pending home sales fell 2% in August, declining in nine of the past ten months as housing demand wanes. Pending home sales were down 24% year-over-year.
Events Calendar:
Monday, October 24
HSBC Holdings (HSBC), Cadence Design Systems (CDNS), Discover Financial Services (DFS), Alexandria Real Estate Equities (ARE), W.R. Berkley Corp. (WRB), Brown & Brown Inc. (BRO), Sun Communities Inc. (SUI), Packaging Corporation of America (PKG), and Crown Holdings Inc. (CCK) report earnings
Chicago Fed National Activity Index (Sep)
S&P Global Composite PMI - Flash Estimate (Oct)
Tuesday, October 25
Microsoft (MSFT), Alphabet (GOOG), Visa (V), The Coca-Cola Company (KO), Novartis (NVS), United Parcel Service (UPS), Texas Instruments (TXN), Raytheon Technologies (RTX), Chubb Ltd. (CB), General Electric (GE), Canadian National Railway (CNI), 3M Company (MMM), Illinois Tool Works (ITW), Scherwin-Williams (SHW), UBS (UBS), Archer-Daniels-Midland (ADM), General Motors (GM), Valero Energy (VLO), Moody’s Corporation (MCO), Centene Corporation (CNC), Chipotle Mexican Grill (CMG), Twitter (TWTR), Kimberly Clark (KMB), Biogen (BIIB), Enphase Energy (ENPH), MSCI Inc. (MSCI), Halliburton (HAL), Ameriprise Financial Services (AMP), Canon Inc. (CAJ), FirstEnergy (FE), and Spotify (SPOT) report earnings
S&P Case-Shiller National Home Price Index (Aug)
Freddie Mac House Price Index (Aug)
CB Consumer Confidence Index (Oct)
Wednesday, October 26
Meta Platforms (META), Thermo Fisher Scientific (TMO), Bristol-Myers Squibb (BMY), Equinor (EQNR), Automatic Data Processing (ADP), Boeing (BA), ServiceNow (NOW), Waste Management Inc. (WM), Canadian Pacific Railway (CP), General Dynamics (GD), CME Group (CME), Boston Scientific Corp. (BSX), Edwards Lifesciences (EW), Norfolk Southern (NSC), Ford Motor Company (F), O’Reilly Automotive (ORLY), Kraft Heinz (KHC), Banco Santander (SAN), Suncor Energy (SU), Amphenol Corp. (APH), Roper Technologies (ROP), Hess Corporation (HES), KLA Corporation (KLAC), Southern Copper Corporation (SCCO), Hilton Worldwide Holdings (HLT), IQVIA Holdings (IQV), Digital Realty Trust (DLR), Raymond James Financial (RJF), Molina Healthcare (MOH), United Rentals (URI), Arch Capital Group Ltd. (ACGL), Deutsche Bank (DB), and Garmin (GRMN) report earnings
Goods Trade Balance (Sep)
Wholesale Inventories (Sep)
Retail Inventories (Sep)
New Home Sales (Sep)
Thursday, October 27
Apple (AAPL), Amazon (AMZN), Mastercard (MA), Merck (MRK), McDonald’s (MCD), Royal Dutch Shell (SHEL), T-Mobile (TMUS), Linde (LIN), Comcast Corp. (CMCSA), TotalEnergies (TTE), Honeywell (HON), Intel (INTC), Starbucks (SBUX), S&P Global (SPGI), Caterpillar (CAT), Petrobras (PBR), Anheuser-Busch (BUD), American Tower Corp. (AMT), Gilead Sciences (GILD), Altria Group (MO), Northrop Grumman (NOC), Vertex Pharmaceuticals (VRTX), The Southern Company (SO), Fiserv (FISV), Pioneer Natural Resources (PXD), Keurig Dr. Pepper (KDP), L3 Harris Technologies (LHX), American Electric Power Co. (AEP), Republic Services (RSG), Takeda Pharmaceutical Co. (TAK), DexCom Inc. (DXCM), Arthur J. Gallagher & Co. (AJG), Capital One Financial (COF), Shopify (SHOP), Pacific Gas & Electric Co. (PCG), Xcel Energy (XEL), Lloyds Banking Group (LYG), Carrier Global (CARR), Baxter International (BAX), Seagen (SGEN), Willis Towers Watson (WTW), T. Rowe Price Group (TROW), CBRE Group (CBRE), DTE Energy (DTE), Southwest Airlines (LUV), VeriSign Inc. (VRSN), Laboratory Corporation of America (LH), LPL Financial Holdings (LPLA), Pinterest (PINS), First Solar (FSLR), Kimco Realty Corp. (KIM), Zendesk (ZEN ), and U.S. Steel Corporation (X) report earnings
Durable Goods Orders (Sep)
U.S. GDP Growth Rate - Advance Estimate (Q3 2022)
Personal Consumption Expenditures (PCE) Prices (Q3 2022)
Real Consumer Spending (Q3 2022)
Kansas Fed Composite Index (Oct)
Friday, October 28
ExxonMobil (XOM), Chevron (CVX), AbbVie (ABBV), NextEra Energy (NEE), Sanofi (SNY), Charter Communications (CHTR), Colgate-Palmolive (CL), Aon (AON), Church & Dwight Co. (CHD), and Gentex Corporation (GNTX) report earnings
Personal Income and Spending (Sep)
PCE Price Index (Sep)
Wage Growth (Q3 2022)
Pending Home Sales (Sep)
Michigan Consumer Sentiment Index - Final Reading (Oct)
A Big Week for Earnings
Next week could be the busiest of the corporate earnings season. Some of the largest and most prominent multinational companies in the world, including all five of the “FAAMG” companies within the technology sector, are expected to report. Microsoft and Alphabet—the parent company of Google—both report on Tuesday, along with Visa, The Coca-Cola Company, UPS, and many others. Meta Platforms, ADP, Boeing, and Ford Motor Company follow on Wednesday. On Thursday, we can expect earnings from tech giants Apple and Amazon, along with releases from Mastercard, Merck, McDonald’s, T-Mobile, Comcast, Intel, Starbucks, and Caterpillar, among many others. Energy giants ExxonMobil and Chevron report on Friday, along with pharmaceutical firms Sanofi and AbbVie.
So far, about 20% of S&P 500 companies have reported third-quarter earnings. Of the companies reporting so far, 72% have beaten their earnings projections, according to research from FactSet.
The share of companies beating their earnings estimates for the third quarter is slightly below a five-year average of 77%. BlackRock, Netflix, Goldman Sachs, and UnitedHealth Group are among the companies having reported earnings per share (EPS) well above forecasts.
Did the Economy Grow in the Third Quarter?
On Thursday, the Bureau of Economic Analysis (BEA) will release the advance estimate of third-quarter U.S. gross domestic product (GDP), tracking the U.S. economy’s growth rate for the three months ending in September. U.S. GDP is forecasted to have expanded at a 2% seasonally-adjusted annual rate in the third quarter, after contracting 0.6% in the second quarter. A rise in the nation’s GDP would mark the first quarter of growth since the fourth quarter of 2021, following two straight quarters of contraction during the first half of 2022. While two consecutive quarters of declining GDP is often used as a proxy for a recession, economists at the Federal Reserve maintain that the U.S. economy is not currently in a recession, as the labor market and nominal wage growth remain strong.
More Insights on the Housing Market
On Tuesday, S&P Global will release its Case-Shiller National Home Price Index for the month of August. Mortgage originator Freddie Mac will also release its House Price Index (HPI) for the same month, tracking prices of single-family homes. Home prices as tracked by the Case-Shiller Index fell 0.8% in July, recording their first monthly decline since January 2019 as rising mortgage rates and declining affordability weigh on demand. On an annual basis, prices were up 16.1%, far below a record 21.2% growth rate in March. Analysts project the slowdown in the housing market will continue over the coming months, with prices projected to remain unchanged in September.
Market watchers can also expect the latest updates on home sales next week. On Wednesday, the U.S. Census Bureau will report on September new home sales, which are projected to have fallen to 630,000 from 685,000 in August. Sales of newly-built homes have trended lower in 2022 so far, and are down from a recent high of 839,000 in December of last year. On Friday, the National Association of Realtors (NAR) will release pending home sales figures for the prior month. Pending home sales fell 2% in August, declining in nine of the past ten months as housing demand wanes. Pending home sales were down 24% year-over-year.