What to expect in the markets this week

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Fed Chairman Jerome Powell in Washington, DC, in December.

Investors will be watching the Federal Reserve’s interest rate decision and comments from Chairman Jerome Powell on Wednesday.
The release of new data on PCE inflation and US GDP is also scheduled for this week.
Magnificent 7 members Tesla, Meta Platforms, Microsoft and Apple are scheduled to report earnings.
AT&T, Intel, Caterpillar, Comcast, Visa and ExxonMobil are also expecting earnings.

The Federal Reserve’s interest rate decision on Wednesday and a slew of closely watched earnings reports are among the headline items set for a busy week ahead for investors.

Fed Chairman Jerome Powell will deliver remarks after the Fed meeting ends, and investors are expecting more clues about the path forward for rates with the new presidential administration underway. Investors will also get updates for the fourth quarter gross domestic product and Expenditures for personal consumption inflation data for December.

Several notable companies are due to announce earnings, including Magnificent 7 members of Microsoft (MSFT), Platform meta (TARGET), Tesla (TSLA) and Apple (AAPL). Updates from AT&T (T), General Motors (GM), Intel (INTC), Caterpillar (CAT), visa (V) and ExxonMobil (XOM) were also tapped.

Monday, January 27

Sale of new houses (December)
AT&T, Brown & Brown (BROTHER) and SoFi (SOPHIE) scheduled to report earnings

Tuesday, January 28

FHFA real estate price index (November)
S&P Case-Shiller Real Estate Price Index (November)
Consumer confidence (January)
Durable goods orders (November)
The meeting of the Federal Open Market Committee begins
SAP SE (SAP), Stryker (SYK), RTX (RTX), Boeing (B.A), Lockheed Martin (LMT), Starbucks (SBUX), Chubb (CB), Royal Caribbean (RCL), General Motors and Sysco (SYY) scheduled for earnings reporting

Wednesday, January 29

US trade deficit (December)
Wholesale Stock (December)
Retail inventories (December)
FOMC Interest Rate Decision
Fed Chairman Jerome Powell’s press conference
Microsoft, Meta Platforms, Tesla, ASML Holdings (ASML), T-Mobile USA (TMUS), ServiceNow (NOW) and IBM (IBM) scheduled for earnings reporting

Thursday, January 30

Gross domestic product (4th quarter and the whole year 2024)
Initial Jobless Claims (Week Ending January 25)
Pending house for sale (December)
Apple, Visa, Mastercard (MA), ThermoFisher (TMO), shell (SHEL), Caterpillar, Comcast (CMCSA), Blackstone (BX), United Parcel Service (UPS) and Intel plan to report earnings

Friday, January 31

Employment Cost Index (Q4)
Price index of personal consumption expenditures (December)
Chicago Business Barometer (January)
ExxonMobil, AbbVie (ABBV), Chevron (CVX) and Colgate-Palmolive (CL) scheduled for earnings reporting

The Federal Open Market Committee (FOMC) is scheduled to meet this week, and officials will consider whether to cut interest rates at their fourth consecutive meeting. Futures traders see a cut as unlikely, with persistent inflation and a strong labor market that officials little room for interest reduction.

After the meeting, Fed Chairman Jerome Powell he is expected to answer questions from the media, which could influence market movements—especially if he offers details on how the Fed might proceed with further rate decisions this year.

On Thursday, the publication of the measurement of the gross domestic product of the US economy for the fourth quarter and the entire year 2024 is planned. The Atlanta Federal Reserve estimates fourth-quarter GDP growth to be 3%, up from 2.8% economic growth measured in the third quarter.

The release of the personal consumption expenditure price index on Friday will show whether inflation continued to rise in December after rising to an annual rate of 2.4% in November.

Investors will also get data on home prices and sales levels, retail inventories, jobless claims, employment costs and the US trade deficit.

Several high-profile companies are due to release quarterly financial updates this week, including several members of the Magnificent Seven and top technology, energy, financial and manufacturing companies.

Magnificent 7 members Microsoft, Meta Platforms and Tesla are scheduled to report on Wednesday, while Apple is scheduled to release its financials on Thursday.

Tesla’s report comes as its own CEO Elon Musk he took on a role in President Donald Trump’s administration. EV manufacturer the latest data on vehicle deliveries was lower than analysts expected.

Microsoft’s planned report follows a series of news about artificial intelligence funding initiativesincluding last week’s announcement a A $500 billion AI initiative which includes OpenAI supported by Microsoft. Meta’s scheduled report is coming soon raised its projections about how much he would invest in emerging technology like artificial intelligence. Apple’s scheduled report follows analyst downgrades prompted by eye concerns demand for new iPhones.

Several other major tech companies are due to release financial data this week, including chip maker ASML Holdings, IBM, Intel and ServiceNow.

Oil producers ExxonMobilChevron and Shell are set to release quarterly financials amid optimism about energy policy under the new Trump administration. Expected reports from AT&T, T-Mobile and Comcast will give investors insight into the health of the telecommunications sector.

Expected earnings from Visa, Mastercard and SoFi this week could give market watchers insight into the health of consumers as debt levels have recently declined.

Boeing is scheduled to host its investor call on Tuesday after the aircraft maker released earnings data early last week. RTX and Lockheed Martin are also expected to release reports this week.

General Motors is scheduled to release its quarterly financial reports on Tuesday, after receiving analyst upgrade based on recent moves like shutting down its robotaxi Cruise program.

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