What will drive the markets this week?
Stocks closed mostly high last week supported by a better-than-expected US jobs report which showed a positive economic rebound. But a rise in long-dated benchmark bond yields and the U.S. dollar hurt consumer discretionary & technology stocks, putting pressure on growth stocks.
Earnings continue this week with more than 1,000 U.S. companies including Disney, eBay, Airbnb, Sonos, Wendy’s, and DoorDash reporting. Corporate earnings continue to top expectations with around 88% of companies beating analysts’ forecasts for the last quarter. Some analysts have raised their earnings forecasts for the third quarter, with expectations of growth in profits.
Investors will also parse key economic reports including the US consumer and housing markets that will provide more insight into the health of the consumer and housing markets. Industrial production figures from the EU and India are due for release on Thursday.
Monday, August 9:
- U.S. Job Openings (June).
Tuesday, August 10:
- Earnings: DoorDash and Aramark.
- NFIB Small-Business Index (July).
Wednesday, August 11:
- Earnings: eBay, Nio, and iQiyi.
- U.S. Consumer Price Index (July).
- China Vehicle Sales YOY.
- Japan PPI YOY.
Thursday, August 12:
- Earnings: Walt Disney, Sonos, Wendy’s, and Airbnb.
- U.S. Producer Price Index (July).
- EU Industrial Production YOY.
- India Industrial Production YOY.
- India Manufacturing Production YOY.
Friday, August 13:
- U.S. Consumer Sentiment Report (August).
- U.S. Mortgage Applications (July).
- EU Balance of Trade (June).
- China FDI (YTD) YOY.