Prepare for trading markets over the next five days with the FlowBank Week ahead report:
The second quarter’s profits for S&P 500 companies are expected to be up 65% from the same quarter a year ago in the depths of the pandemic, according to Refinitiv. The growth will be led by a near 570% increase in profits for industrials, one of the hardest hit sectors during the pandemic.
CNBC’s Jim Cramer on Friday looked ahead to the start of earnings season, focusing on quarterly reports from the big banks and other companies in the packaged foods and travel industries.
“What happens next week will color the entirety of earnings season,” Cramer said. “If we get some good ones, we’ll be in party mode, but a negative series of numbers from the banks and some upsetting Covid stats could make for a tough earnings season.”
There is also some important data ahead, particularly the Consumer Price Index on Tuesday. CPI inflation rose at a higher than expected annual rate of 5% in May, and June could also be hot. The Fed has said it would allow inflation to rise above its targeted 2% level, and watch an average inflation rate.
CALENDAR
MONDAY
Earnings
N/A
Macro
US: N/A
Monetary Policy
N/A
TUESDAY
Earnings
PepsiCo, JP Morgan Chse, Goldman Sachs
Macro
US: CPI, Federal Budget
Monetary Policy
N/A
WEDNESDAY
Earnings
Wells Fargo, Bank of America, Citigroup, Delta Airlines, Blackrock
Macro
US: PPI
Monetary Policy
Reserve Bank of New Zealand meeting
Bank of Canada meeting
Fed's Beige Book
THURSDAY
Earnings
United Health Group, Alcoa, Morgan Stanley, US Bancorp
Macro
Asia: Australia Employment report, China Q2 Gross Domestic Product
US: US initial jobless claims, Philadelphia Fed, Empire Manufacturing, Industrial production
Monetary Policy
N/A
FRIDAY
Earnings
First Horizon, Kansas City Southern
Macro
US: Retail Sales, Univ. Mich. Consumer Sentiment
Monetary Policy
Bank of Japan meeting
Sources: Investing.com, CNBC
