What to Expect in the Markets This Week

It Federal Open Market Committee (FOMC) A meeting is scheduled for this week where officials are considering a fourth straight rate cut.Futures traders believe a cut is unlikely as persistent inflation and a strong labor market give officials little room to lower interest rates.

After the meeting Fed Chairman Jerome Powell Media issues that could affect market movements are expected to be discussed, especially if he provides details on how the Fed may proceed with further interest rate decisions this year.

A measure of gross domestic product for the U.S. economy for the fourth quarter and the full year of 2024 is scheduled to be released on Thursday.The Atlanta Federal Reserve forecasts fourth-quarter GDP growth of 3%. 2.8% economic growth measured in the third quarter.

Friday’s release of the Personal Consumption Expenditure Price Index will show whether inflation has continued to rise after rising to the annual rate in December. in November: 2.4%.

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

Several high-profile companies are scheduled to release quarterly financial updates this week, including several members of the Magnificent 7 and leading technology, energy, financial and manufacturing companies.

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

The Tesla report comes as its own CEO Elon Musk assumed a role in the administration of President Donald Trump. of an EV manufacturer latest vehicle delivery data came in lower than analysts expected.

Microsoft’s planned report follows the news flow artificial intelligence funding initiativesincluding last week’s statement a A $500 billion AI initiative which includes Microsoft-backed OpenAI.The planned Meta report comes to that raised its forecasts about how much it will invest in emerging technologies like AI.Apple’s planned report follows analyst downgrades due to concerns demand for new iPhones.

Several other notable tech companies are scheduled to release financial data this week, including chipmaker ASML Holdings, IBM, Intel and ServiceNow.

Oil producers ExxonMobilChevron and Shell are scheduled to report quarterly financials amid optimism about energy policy under the new Trump administration.Expected reports from AT&T, T-Mobile and Comcast will give investors a look at the health of the telecom industry.

Expected earnings from Visa, Mastercard and SoFi this week could give market watchers a look at consumer health as debt levels have recently declined.

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

General Motors plans to release its quarterly financial results on Tuesday after it is received analyst improvement based on recent moves such as the shutdown of the Cruise robotaxi program.

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