Wall Street in the week ahead will witness plenty of economic data, but major focus of investors will on the US Federal Reserve’s monetary policy.
The us central bank will release its interest rate decision, the first of year 2025, on Wednesday. After three straight rate cuts last year, the Fed is widely expected to hold interest rate steady this time.
On economic data front, market participants will closely watch US GDP (gross domestic product) data, Fed-preferred inflation PCE (personal consumption expenditures) Price Index, personal income and spending data.
The earnings calendar in the week ahead will see four megacap companies — Microsoft, Meta Platforms, Apple, and Tesla — declare their fourth quarter results.
Economic calendar
On January 27 (Monday), a report on new home sales for December will be released.
On January 28 (Tuesday), separate reports on durable goods orders for December, S&P Case-Shiller home price index (20 cities) for November, consumer confidence for January will be released.
On January 29 (Wednesday), the Federal Open Market Committee (FOMC) interest rate decision will be declared. Fed Chair Jerome Powell will hold a press conference.
On January 30 (Thursday), separate reports on GDP Q1, initial jobless claims for week ended January 25, and pending home sales for December will be released.
On January 31 (Friday), separate reports on Employment Cost Index Q4, personal income and spending (nominal) for December, and PCE Index for December will be released.
Earnings
Following companies are due to report fourth quarter earnings in the week ahead —AT&T, Brown & Brown, Nucor, W. R. Berkley, Ryanair Holdings, Boeing, SAP, RTX, Stryker, Lockheed Martin, Microsoft, Meta Platforms, Tesla, ASML Holding, T-Mobile US, Apple, Visa, Mastercard, Blackstone, Thermo Fisher Scientific, Exxon Mobil, AbbVie, Aon, Colgate-Palmolive, and Charter Communications.
Markets last week
US stocks closed lower on Friday after mixed economic data and earnings reports.
The Dow Jones Industrial Average fell 140.82 points, or 0.32 per cent, to 44,424.25, the S&P 500 lost 17.47 points, or 0.29 per cent, to 6,101.24 and the Nasdaq Composite lost 99.38 points, or 0.50 per cent, to 19,954.30.
The indexes advanced for the second week in a row, with the S&P 500 up 1.74 per cent, while the Nasdaq rose 1.65 per cent and the Dow climbed 2.15 per cent.
The US dollar slid on Friday after President Donald Trump suggested a softer stance on tariffs against China.
The US dollar dropped as much as 0.8 per cent against a basket of currencies on Friday, before narrowing losses at the end of the day to be down 0.65 per cent.
In the bond market, the yield on the 10-year Treasury eased to 4.61 per cent from 4.65 per cent.
