Markets Await Earnings and Speech from Fed Chair Powell
By The stock market began the week on a lower note, with U.S. stock futures falling Monday as investors awaited more earnings and an important speech from Federal Reserve Chairman Jerome Powell.[0] Dow Jones Industrial average futures lost 72 points, S&P 500 futures were lower by 0.3%, and Nasdaq-100 futures fell by 0.4%.[1]
Before Federal Reserve Chairman Jerome Powell's speech to the Economic Club of Washington on Tuesday, markets are likely to be tense.[2] Last week, investors disregarded another rate increase from the central bank, as they bid shares higher due to Powell's remarks on disinflation commencing.[2] Monday will see a lack of economic data.[1]
[1] Last week, the S&P 500 made a positive “Golden Cross” pattern and surpassed its 5-month peak at the 4,100 figure.[1] The Nasdaq has recorded its first five-week winning streak since November 2021.[1]
The Federal Reserve Chair Jerome Powell and corporate earnings will be the primary forces driving markets during the upcoming week.[3] Several major companies, including Pfizer (PFE), McDonald's (MCD), Exxon Mobil (XOM), Caterpillar (CAT), General Motors (GM), Sanmina (SANM), and NXP Semiconductors (NXPI) are set to report earnings. Wall Street expects Pfizer to post earnings per share of $1.07 on revenue of $24.6B, McDonald's to have earned $2.46 per share on revenue of $5.69 billion for the latest quarter, Exxon Mobil to report earnings of $3.29 a share on revenue of $97.17 billion, Caterpillar to post earnings of $3.86 per share on revenue of $16.6 billion, General Motors to post quarterly earnings at $1.69 per share on revenue of $40.65 billion, Sanmina Corporation to post better-than-expected earnings for its first quarter, and NXP Semiconductors to report upbeat results for its fourth quarter.[4] Additionally, investors will be keeping close tabs on the earnings reports of Apple (AAPL), Amazon (AMZN), Alphabet (GOOGL), and Qualcomm (QCOM).
0. “General Motors, McDonald's And 3 Stocks To Watch Heading Into Tuesday By Benzinga” Investing.com UK, 31 Jan. 2023, https://uk.investing.com/news/stock-market-news/general-motors-mcdonalds-and-3-stocks-to-watch-heading-into-tuesday-2898438
1. “Stock Futures Slide to Start Week With More Earnings and a Powell Speech Ahead” NBC4 Washington, 6 Feb. 2023, https://www.nbcwashington.com/news/local/stock-futures-slide-to-start-week-with-more-earnings-and-a-powell-speech-ahead-2/3271900/
2. “Stock futures slide to start week with more earnings and a Powell speech ahead” CNBC, 6 Feb. 2023, https://www.cnbc.com/2023/02/05/stock-futures-slide-to-start-week-with-more-earnings-and-a-powell-speech-ahead.html
3. “1 Stock to Buy, 1 Stock to Dump This Week: Pinterest, PayPal” Investing.com, 5 Feb. 2023, https://www.investing.com/analysis/1-stock-to-buy-1-stock-to-dump-this-week-pinterest-paypal-200635021
4. “Best January in 4 Years Heads for Its Close; XOM, CAT, GM & More Report” Zacks Investment Research, 31 Jan. 2023, https://www.zacks.com/stock/news/2047090/best-january-in-4-years-heads-for-its-close-xom-cat-gm-more-report
