What To Expect in the Markets This Week

This week, investors can look forward to earnings from several big banks, with JPMorgan Chase (JPM), Goldman Sachs (GS), Bank of America (BAC), Wells Fargo (WFC), and more set to report. Results from large firms in the tech and health care sectors, including Taiwan Semiconductor Manufacturing Company (TSM) and UnitedHealth Group (UNH), could also attract investor attention.

Market participants will likely be focused on Wednesday’s Consumer Price Index (CPI) inflation report, as well as data on wholesale inflation, U.S. retail sales, and housing starts.

Federal Reserve officials could also offer insights on monetary policy before the blackout period ahead of the late-January meeting, with New York Fed President John Williams, Minneapolis Fed President Neel Kashkari, and Chicago Fed President Austan Goolsbee scheduled to speak this week.

Monday, Jan. 13

• KB Home (KBH) reports earnings

Tuesday, Jan. 14

• NFIB Small Business Optimism Index (December)
• Producer Price Index (December)
• New York Fed President John Williams and Kansas City Fed President Jeffrey Schmid deliver remarks

Wednesday, Jan. 15

• Consumer Price Index (December)
• Empire State manufacturing survey (January)
• Philadelphia Fed Manufacturing Survey (January)
• Homebuilder confidence index (January)
• Business inventories (November)
• New York Fed President John Williams, Richmond Fed President Tom Barkin, Minneapolis Fed President Neel Kashkari and Chicago Fed President Austan Goolsbee deliver remarks
• JPMorgan Chase (JPM), Goldman Sachs (GS), Wells Fargo (WFC), BlackRock (BLK), Citigroup (C), and Bank of New York Mellon (BK) report earnings

Thursday, Jan. 16

• Initial jobless claims (Week ending Jan. 11)
• U.S. retail sales (December)
• Import and export price indexes (December)
• Taiwan Semiconductor Manufacturing Company (TSM), Bank of America (BAC), Morgan Stanley (MS), UnitedHealth Group (UNH), PNC Financial Services Group (PNC), and U.S. Bancorp (USB) report earnings

Friday, Jan. 17

• Housing starts and building permits (December)
• Industrial production and capacity utilization (December)
• Truist Financial (TFC), Schlumberger (SLB), Citizens Financial Group (CFG), Fastenal (FAST), State Street (STT), and Regions Financial (RF) report earnings

Big Banks Report Earnings

Some of the world’s biggest banks are set to report earnings this week as earnings season swings into focus, coming after a slew of strong third-quarter earnings reports as financial institutions put more focus their investment banking and wealth management services. 

The world’s largest bank by market capitalization, JPMorgan Chase, is set to report on Wednesday, coming after its third-quarter revenue surged past analysts’ estimates. Goldman Sachs, Wells Fargo, BlackRock, Citigroup, and the Bank of New York Mellon are also scheduled to report Wednesday.

Bank of America, Morgan Stanley, and PNC Financial Services are set to follow on Thursday, with Truist Financial, State Street, Regions Financial, and more expected to release their quarterly financial reports on Friday. 

Investors will also likely be watching for earnings reports from some noteworthy firms in the tech and health care space, including UnitedHealth and TSMC.

Thursday’s earnings report from UnitedHealth Group will be the first since the CEO of its subsidiary UnitedHealthcare unit was fatally shot in New York City on Dec. 4. It will follow its prior quarterly report, which showed that the health insurer was still being affected by a cyberattack from last February against its Change Healthcare division.

Also on Thursday, TSMC’s report comes after the Apple (AAPL) and Nvidia (NVDA) supplier reported a 54% year-over-year jump in net income in its most recent financial release, above analysts’ estimates. 

Fresh Inflation Reports, Retail Sales, and Fed Speakers

Economists will get a look at whether inflation continued to remain “sticky” in December with this week’s expected release of the Consumer Price Index (CPI) and the wholesale-focused Producer Price Index (PPI). Market participants are closely watching pricing data as Federal Reserve officials have raised worries about persistent inflation as they contemplate making additional interest rate cuts. 

The November CPI report showed that grocery prices jumped the most in nearly two years, leading to an annual inflation rate of 2.7%, an increase from the prior month’s reading. Wholesale inflation also jumped in December, partly due to the bird flu epidemic that forced egg prices higher. On Friday, the import and export price indexes could offer details on price changes in international trade. 

U.S. retail sales data is set to come on Friday, as consumers have continued to surprise economists with their spending, with November’s 0.7% increase in sales fueled by a jump in automobile sales. 

Housing market data is also on tap, with the homebuilder confidence index due for release on Wednesday and December housing starts scheduled for Friday.

Market watchers will hear from several Federal Reserve speakers as well, including New York Fed President John Williams, Kansas City Fed President Jeffrey Schmid, Richmond Fed President Tom Barkin, Minneapolis Fed President Neel Kashkari, and Chicago Fed President Austan Goolsbee. Friday is the last day before the Federal Reserve’s blackout period on comments about monetary policy before its Jan. 28-29 meeting.