What will drive the markets this week?
Global equities rallied last Friday to recover some of their weekly losses, but major averages still declined for the week, driven by concerns about inflation, and risk of recession and further monetary tightening by central banks.
After the US reported its inflationary data last week, investors will review similar data from the Eurozone, the U.K., and Canada this week. Eurozone inflation currently stands at 7.5%, and is expected to remain unchanged. However, U.K. inflation is expected to rise from the current 7% to 9.1%.
In earnings, the market will review quarterly reports from major retailers, including Walmart, Target, Home Depot, and Lowe’s. The monthly update on retail sales growth for April will also be released and economists project that retail sales in the US rose to a monthly rate of 0.9% in April, from 0.5% rise in March.
Monday, May 16:
- Earnings from Mitsubishi, Ryanair, AngloGold, and Tencent.
- NY Empire State Manufacturing Index (May)
Tuesday, May 17:
- Earnings from Walmart, Home Depot, JD.com, Vodafone, Baidu, and Trip.com.
- U.S. Retail Sales (April)
- U.S. Industrial Production (April)
- NAHB Housing Market Index (May)
- Japan GDP Growth (Q1 2022)
- Japan Industrial Production (March)
Wednesday, May 18:
- Earnings from Cisco, Lowe’s, Target, Analog Devices, TJ Maxx, and Bath & Body Works.
- U.S. Housing Starts and Building Permits (April)
- U.K. Consumer Price Index (CPI) (April)
- U.K. Producer Price Index (PPI) (April)
- Eurozone Consumer Price Index (CPI) (April)
- Canada Consumer Price Index (CPI) (April)
Thursday, May 19:
- Earnings from Ross Stores, BJ’s Wholesale Club, and Kohl’s.
- U.S. Existing Home Sales (April)
Friday, May 20:
- Earnings from Deere, and Foot Locker.
- Germany Producer Price Index (PPI) (April)
- U.K. Retail Sales (April)