It’s the busiest week of the second quarter earnings season. About a third of
companies are scheduled to report.
start things up
on Tuesday, followed by a full Tuesday:
headline of a 42 report day.
results announced on Wednesday. Thereafter
report on Thursday. Finally,
Procter & Gamble
end the week on Friday.
It will also be a busy week for IPOs. The highlight is the investment app Robinhood Markets, which is expected to start trading Thursday. It aims for a valuation of approximately $35 billion.
This week, too, there is plenty of action on the economic calendar. The Federal Reserve’s policy committee closes a two-day meeting on Wednesday. A change in interest rates is off the table, but officials could reveal more information about their timetable for reducing bond purchases. The press conference after Fed Chair Jerome Powell’s meeting is a must-watch.
On Thursday, the Bureau of Economic Analysis will release its first official estimate of US gross domestic product for the second quarter. Economists expect seasonally adjusted annual growth of 9.1%, up from 6.4% in the first quarter.
Other data from this week include the Conference Board’s Consumer Confidence Index for July and the Commerce Department’s durable goods orders for June, both on Tuesday. The latter is often seen as a good proxy for business investment.
Cadence Design Systems,
Lockheed Martin, Otis Worldwide and Tesla report quarterly results.
The Census Bureau reports the sale of new single-family homes for June. Economists predict a seasonally adjusted annual rate of 800,000 new home sales, up 4% from May’s 769,000.
It’s a big day for megacap technology earnings. Alphabet, Apple and Microsoft will announce quarterly results. The three companies are among the five largest globally by market value, with a total value of $6.4 trillion.
United Parcel Service,
and Visa announce profits.
The Conference Council publishes its Consumer Confidence Index for July. The consensus estimate is for a 124 reading, lower than the June 127.3. The June figure was the highest for the index since the start of the pandemic.
S&P CoreLogic publishes its Case-Shiller National Home Price Index for May. Expectations are for an increase of 16.4% year-on-year, after a jump of 14.6% in April. The April peak was a record for the index dating back to 1988, when the data was first collected.
Automatic data processing,
Bristol Myers Squibb,
Facebook, Ford Motor,
PayPal Holdings, Pfizer, Qualcomm, Shopify and
Thermo Fisher Scientific
report quarterly results.
The federal open market The commission announces its monetary policy decision. The FOMC is expected to keep rates on federal funds unchanged close to zero. Wall Street expects the central bank to announce a timetable for cutting its bond purchases, currently about $120 billion a month, sometime between now and its September meeting.
Amazon.com, Comcast, Hershey,
Hilton Worldwide Holdings,
Molson Coors drink,
and T-Mobile US are holding conference calls to discuss earnings.
Robinhood Markets, the commission-free investment app, is expected to begin trading on the Nasdaq exchange under the ticker HOOD. Robinhood plans to offer 55 million shares at $38 to $42 a share, which would value the company at approximately $35 billion.
The Office of Economic Analysis reports its preliminary estimate of gross domestic product in the second quarter. Economists predict seasonally adjusted annual growth of 9.1%, after a 6.4% increase in the first quarter. The Federal Reserve is currently forecasting 7% GDP growth for 2021, which would be the fastest growth since 1984.
Caterpillar, Charter Communications, Chevron, Colgate-Palmolive, Exxon Mobil, Procter & Gamble and
report quarterly results.
Write to Nicholas Jasinski at email@example.com