Earnings
Boeing
S&P futures (SPX) were up 0.1%, Nasdaq 100 futures (NDX:IND) were up 0.1%, and Dow futures (INDU) were slightly higher.
Profit parade intensifies
This week’s business earnings and economic statistics will test the optimism.
Before U.S. trading begins on Tuesday, Johnson & Johnson (NYSE:JNJ), Procter & Gamble (NYSE:PG), and 3M (NYSE:MMM) will publish their latest quarterly results. Netflix (NASDAQ:NFLX) and Texas Instruments (NASDAQ:TXN) earnings will be watched after the bell.
United Airlines (NASDAQ:UAL) reported a fourth-quarter adjusted earnings per share that above expectations during its “busiest travel period in history” last month, increasing premarket U.S. trading. The numbers lifted American Airlines (NASDAQ:AAL) and Delta Air Lines (NYSE:DAL).
Later this week, traders will watch the first U.S. GDP reading in 2023’s final three months and the Federal Reserve’s favored inflation index for December.
SEC links fake X post to phone number swap
Due to a bad actor taking control of its social media account on X, the top U.S. securities regulator claimed a bogus tweet appeared to announce the approval of a spot Bitcoin exchange-traded fund.
The SEC announced on Monday that it was the target of a “SIM swap” attack, which illegally transfers a person’s phone number. The SEC said the unauthorized entity reset the X account password.
“Among other things, law enforcement is currently investigating how the unauthorized party got the carrier to change the SIM for the account and how the party knew which phone number was associated with the account,” it said.
The bogus tweet on Jan. 9 claimed the SEC had approved Bitcoin ETFs, creating a trading frenzy around the world’s most famous cryptocurrency. The SEC rejected the statement and approved the ETFs a day later.
BOJ maintains dovishness
On Tuesday, the Bank of Japan maintained historical low interest rates and yield curve management policies but cut its fiscal 2024 inflation projection.
The BOJ left its short-term interest rates at negative 0.1% and maintained its yield curve control mechanism, enabling 10-year yields to vary between negative 1% and 1% with a goal of 0%. The central bank did not adjust its asset buying programs.
The BOJ announced on Tuesday that it anticipates consumer price index (CPI) inflation to remain above its 2% annual target through fiscal 2024 and to only begin moderating in 2025.
However, most BOJ policy board members cut their fiscal 2024 CPI inflation expectations. The median core CPI inflation prediction, which excludes fresh food costs, was 2.4%, down from 2.8% in October.
Economic Calendar
7:45 AM ET ICSC Weekly Retail Sales
8:55 AM ET Johnson/Redbook Weekly Sales
10:00 AM ET Richmond Fed Index for January
12:00 PM ET US Treasury to sell $57B in 2-year notes.
4:30 PM ET API Weekly Inventory Data
Other Key Events:
Barclay’s Global Macro & Inflation Conference, 1/22-1/24, in Miami, FL
Jefferies Winter Consumer Summit, 1/22-1/23, in CO
TD Cowen Annual Global Mining Conference, 1/23-1/25, in Toronto, CA
Must read book about investing– check here
Earnings Earnings Earnings Earnings Earnings Earnings Earnings Earnings Earnings Earnings
2023 Chinese growth exceeds objective, but difficulties persist
China’s economy grew slightly less than predicted in the fourth quarter due to sluggish spending and a property market slump, but it narrowly beat government expectations for 2023.
Gross domestic product rose 5.2% year-over-year in the three months to Dec. 31, the National Bureau of Statistics reported Wednesday. The reading was weaker than 5.3% predictions but up from 4.9% the quarter before.
This raised 2023 growth to 5.2%, above Beijing’s 5% target. Despite COVID-19 limits, activity increased from 3% in 2022 due to a lower base for comparison. Except for the three pandemic-era closures, it was the lowest yearly expansion rate since 1990.
Last year, the Chinese economy was hampered by falling consumer spending, a housing market crash, and deflation. The world’s second-largest economy has demographic concerns, as shown by new data showing a faster population fall in 2023.
Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility
Market Market Market Market Market Market
Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing Boeing
2023 Chinese growth exceeds objective, but difficulties persist
China’s economy grew slightly less than predicted in the fourth quarter due to sluggish spending and a property market slump, but it narrowly beat government expectations for 2023.
Gross domestic product rose 5.2% year-over-year in the three months to Dec. 31, the National Bureau of Statistics reported Wednesday. The reading was weaker than 5.3% predictions but up from 4.9% the quarter before.
This raised 2023 growth to 5.2%, above Beijing’s 5% target. Despite COVID-19 limits, activity increased from 3% in 2022 due to a lower base for comparison. Except for the three pandemic-era closures, it was the lowest yearly expansion rate since 1990.
Last year, the Chinese economy was hampered by falling consumer spending, a housing market crash, and deflation. The world’s second-largest economy has demographic concerns, as shown by new data showing a faster population fall in 2023.
Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility Volatility
Market Market Market Market Market Market