January 28, 2023

All eyes on Big Tech Earnings

LQDFXperts Features | All eyes on Big Tech Earnings

Share this article

The big tech earnings season starts with the five largest U.S. companies by market capitalisation.

Investors are ahead of a week of third-quarter earnings results for Meta, Apple, Microsoft, Alphabet and Amazon. Analysts said corporate financial statements in the world’s biggest economy had been “mixed” so far.

Apart from big tech, earnings season reaches its peak this week with many of the world’s mega-cap companies set to report.

Fed policymakers will enter their traditional blackout period ahead of their meeting on Nov 1-2. During this specific timeframe, policymakers cannot speak publicly before their FOMC meeting.

With no Fed officials to speak in the coming days, monetary policy could take a back seat to corporate earnings.

On the UK political front, this week, Britain’s Conservative Party selected Former chancellor Rishi Sunak as a new leader to take over from Liz Truss. Truss quit on Thursday after just six weeks.

Sunak is set to become the United Kingdom’s next prime minister – the fifth in six years and the third in two months.

Truss’ economic plans included billions of pounds of unfunded tax cuts. Such plans sent sterling and bond markets into a tailspin, forcing the Bank of England to intervene.

Big Tech Earnings will take centre stage this week – What else?

This is a densely packed week of new economic data apart from big tech earnings.

Tuesday

S&P Global releases its National Home Price Index, indicating home-price trends across the country in August. 

The Conference Board releases its October consumer-confidence index, measuring Americans’ attitudes toward jobs and the economy. 

Wednesday

The US Commerce Department releases September sales of new homes, which account for about 10% of the housing market.

In addition, the Bank of Canada announces its latest monetary-policy decision after it delivered a 0.75-percentage-point increase at its previous meeting. 

Thursday

The U.S. is to release the first look at third quarter GDP on Thursday. Experts expect the economy to expand at an annual rate of 2.1%. 

GDP contracted in the year’s first half, following strong growth in 2021 as the economy bounced back from pandemic disruptions.

The European Central Bank and the Bank of Japan announce their latest monetary-policy decision. A second 75 basis point rate hike looks like a done deal for the ECB despite the looming prospect of recession in the euro area. 

Finally, the U.S. Labor Department reports the number of worker filings for unemployment benefits in the week ended Oct. 22.

Friday

The Labor Department releases its employmentcost index for the third quarter, while the Commerce Department releases figures on U.S. household spending and income in September. 

Moreover, the University of Michigan publishes its final reading of consumer sentiment for October. 

For more economic events, watch our Economic Calendar

Did you spot your trading opportunity?

START TRADING