Market Outlook for the Week Ahead

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Samiat

Member
Nov 12, 2024
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Market Outlook for the Week Ahead

Key Events:


  • Markets closed on Monday for Martin Luther King Jr. Day.
  • Donald Trump’s presidential inauguration also takes place on Monday.
  • Earnings season kicks off with reports from Netflix, American Express, United Airlines, and others.
  • Economic data releases include consumer sentiment, jobless claims, and existing home sales.

Overview:
This week kicks off with a holiday for U.S. markets, with stock and bond markets closed on Monday in observance of Martin Luther King Jr. Day. However, the day remains significant due to Donald Trump’s inauguration as president. The market will also be keeping an eye on the ongoing earnings season as several high-profile companies release their quarterly reports, including Netflix, American Express, and United Airlines. On the economic front, data on consumer sentiment, initial jobless claims, and existing home sales will be released, giving investors insights into the health of the U.S. economy.


Key Events by Day:

Monday, January 20


  • Markets and federal government closed for Martin Luther King Jr. Day
  • Donald Trump inaugurated as U.S. President
  • Note: Trump is expected to implement initial policies that could impact business and investor sentiment, such as changes to tariffs and immigration regulations.
Tuesday, January 21

  • Earnings reports: Netflix (NFLX), 3M (MMM), Charles Schwab (SCHW), Capital One (COF), United Airlines (UAL), D.R. Horton (DHI), Fifth Third Bancorp (FITB), and Interactive Brokers Group (IBKR).
Wednesday, January 22

  • U.S. Leading Economic Indicators (December)
  • Earnings reports: Procter & Gamble (PG), Johnson & Johnson (JNJ), Abbott Laboratories (ABT), GE Vernova (GEV), Travelers Cos. (TRV), and Discover Financial Services (DFS).
Thursday, January 23

  • Initial jobless claims (Week ending January 18)
  • Earnings reports: GE Aerospace (GE), Texas Instruments (TXN), Union Pacific (UNP), Elevance Health (ELV), and CSX (CSX).
Friday, January 24

  • Existing home sales (December)
  • Consumer sentiment (January)
  • S&P flash U.S. PMI (January)
  • Earnings reports: American Express (AXP), Verizon Communications (VZ), NextEra Energy (NEE), and HCA Healthcare (HCA).

Economic Data and Market Sentiment:
While economic releases are limited this week, Federal Reserve officials will be keeping a close watch on January’s consumer sentiment data, which will include inflation expectations. On Thursday, investors will look to initial jobless claims for insights into the health of the labor market, and existing home sales on Friday will shed light on the housing market's performance. It’s worth noting that the Fed officials will be in a blackout period this week ahead of next week’s meeting, preventing them from making any public comments.