The world of American stock market finance will be the scene of several key events this week. Expect new information regarding inflation in the USA, as well as the latest developments on the stock markets. Interventions by members of the American Federal Reserve (FED) are also planned.
CPI figures to be released soon
This Tuesday, the veil will be lifted on the January inflation figures, indicating a significant impact on the US stock market. Analysts anticipate an increase of 0.2% in the general price level compared to last month. As for core inflation, it should see an annual increase of 3.8%. Wednesday’s CPI figures could cast a damper on expectations of future monetary policy.
The Bank of England (BoE) expects inflation to return to its 2% target during the year, although a rise is expected for the following quarter. FED officials, such as Thomas Barkin, Raphael Bostic and Mary Daly, are expected at the microphone this week.
Thursday’s GDP figures will reveal the effect of high interest rates on the economy. Japan will announce its preliminary GDP figures on the same day. The United Kingdom, for its part, will also release data on employment, inflation and growth this week, providing investors with clues on the timing of the next rate cut by the Bank of England.
Finance: Optimistic results expected on Wall Street
The week promises to reveal the performance of stock indices. On Friday, the S&P 500 finished above 5,000 points for the first time, while the Nasdaq reached 16,000 points, driven by sector giants and semiconductors, including Nvidia, showing promising prospects.
According to LSEG data, reported by Investing.com, Wall Street expects fourth-quarter profit growth of 9.0%. According to Reuters, 81% of companies beat expectations, compared to the typical average of 76%. Financial results from Shopify, Heinz, Kraft Heinz, Cisco, Wendy’s, Trade Desk and Coinbase are highly anticipated for Wednesday and Thursday.
Oil prices also deserve special attention this week. They are expected to see some volatility following a 6% rise last week, largely due to concerns over supply in the Middle East.
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