Second-quarter earnings season gets under way this week, with several big banks reporting. JPMorgan Chase and Goldman Sachs Group kick things off on Tuesday, followed by Bank of America, Wells Fargo, and Citigroup on Wednesday and Morgan Stanley on Thursday.
Other major companies reporting this week include PepsiCo and Fastenal on Tuesday, Delta Air Lines on Wednesday, Taiwan Semiconductor Manufacturing and UnitedHealth Group on Thursday, and Kansas City Southern on Friday.
The week’s economic calendar will be equally busy. The Bureau of Labor Statistics releases the consumer price index for June on Tuesday, followed by the producer price index for June on Wednesday. Expectations are for year-over-year increases of 4.0% and 6.4%, respectively, in the core CPI and core PPI.
Investors and economists will also get a look at a pair of sentiment surveys this week: The National Federation of Independent Business’ Small Business Optimism Index for June on Tuesday and The University of Michigan’s Consumer Sentiment index for July on Friday. The Federal Reserve releases its latest beige book on Wednesday, the Census Bureau reports retail-sales data for June on Friday, and the Bank of Japan announces its latest monetary-policy decision on Friday.
Monday 7/12
FedEx hosts a conference call to update the investment community on its business outlook.
Tuesday 7/13
JPMorgan Chase and Goldman Sachs Group kick off earnings season by reporting results before the market open. The two money-center banks recently lifted their dividends 11% and 60%, respectively.
Conagra Brands, Fastenal, First Republic Bank, and PepsiCo report quarterly results.
Dell Technologies hosts a conference call to discuss its ESG strategy.
The Bureau of Labor Statistics releases the consumer price index for June. Economists forecast a 4.9% year-over-year rise, after a 5% jump in May—the fastest rate of growth since August 2008. The core CPI, which excludes volatile food and energy prices, is expected to increase 4% compared with 3.8% previously.
The National Federation of Independent Business releases its Small Business Optimism Index for June. Consensus estimate is for a 99.5 reading, about even with the May figure.
Wednesday 7/14
Bank of America, BlackRock, Citigroup, Delta Air Lines, PNC Financial Services Group, and Wells Fargo release earnings.
The Federal Reserve releases the beige book for the fifth of eight times this year. The report gathers anecdotal evidence of current economic conditions in the 12 Federal Reserve districts.
The BLS releases the producer price index for June. Expectations are for both the PPI and core PPI to increase 0.5% month over month. This compares with gains of 0.8% and 0.7%, respectively, in May.
Thursday 7/15
Bank of New York Mellon, Cintas, Morgan Stanley, Taiwan Semiconductor Manufacturing, Truist Financial, U.S. Bancorp, and UnitedHealth Group hold conference calls to discuss quarterly results.
Friday 7/16
Charles Schwab, Ericsson, Kansas City Southern, and State Street announce earnings.
The Bank of Japan announces its monetary-policy decision. The central bank is widely expected to keep its key short-term interest rate unchanged at negative 0.1%. In June, the BOJ said it would launch a climate-change plan by the end of this year, and would release a preliminary plan at its July meeting. This could take the form of higher interest rates paid to banks for green-lending measures.
The University of Michigan releases its Consumer Sentiment index for July. Economists forecast an 86.5 reading, slightly higher than June’s 85.5. The index is still well below its levels from just prior to the pandemic.
The Census Bureau reports retail-sales data for June. Consensus estimate is for a 0.5% monthly decline in spending to $617 billion, after slumping 1.3% in May.
Write to Nicholas Jasinski at [email protected]
