OTW – Week of Oct. 19/2020

The week of Oct. 19 proves to be a busy one, starting with the final US presidential debate on Thursday, while earnings season moves into the VIPs (90 S&P 500 companies reporting).

Final U.S. Presidential Debate

Thursday nights debate will feature six 15-minute segments, with the topics expected to be announced in advance. Biden will likely want consecutive negative tests from Trump before he shows up in person.

U.S. Earnings Season – VIPs

Earnings season begins to move into the more high profile corporations, with ninety of the S&P 500 companies reporting. Starting with IBM and Logitech Monday, we move on to Proctor & Gamble, Netflix, Snap Inc, Texas Instruments, UBS, Lockheed Martin (earnings OTW), and CN on Tuesday.

Next, on Wednesday, we hear from Verizon, Chipotle, and Biogen.

Thursday offers releases from Coca Cola, American Airlines, and Intel, while Friday sees releases from American Express, Daimler and Barclays.

Image from Earnings Whispers

October PMI’s from around the world will be under close watch this week as the ongoing second wave leads to economic restrictions. The OTW for the PMI’s will be Thursdays weekly initial jobless claims for the US, especially after last week’s unexpected increase to a 7-week high. A further contraction could raise serious concerns about the current health of the US labor market.

Here is a list of the remaining data releases for the rest of the week (from Deutsche Bank):

Monday October 19

  • Data: Japan September trade balance, China Q3 GDP, September industrial production, retail sales, Canada August wholesale trade sales, US October NAHB housing market index
  • Central Banks: Fed Chair Powell, ECB President Lagarde, Fed’s Clarida, Bostic, Harker and BoE’s Cunliffe speak
  • Earnings: IBM
  • Politics: UK House of Lords begins debate on Internal Market Bill

Tuesday October 20

  • Data: China September new home prices, Germany September PPI, Japan final September machine tool orders, US September building permits, housing starts
  • Central Banks: Fed’s Quarles, Williams, Evans, BoE’s Vlieghe speak
  • Earnings: Procter & Gamble, Netflix, Texas Instruments, Philip Morris International, Lockheed Martin, UBS

Wednesday October 21

  • Data: UK September CPI, public sector net borrowing, US weekly MBA mortgage applications, Canada August retail sales, September CPI
  • Central Banks: Federal Reserve releases Beige Book, Fed’s Mester and BoE’s Ramsden speak
  • Earnings: Verizon Communications, Abbott Laboratories, Thermo Fisher Scientific, NextEra Energy, Tesla

Thursday October 22

  • Data: Germany November GfK consumer confidence, US weekly initial jobless claims, September leading index, existing home sales, October Kansas City Fed manufacturing activity, Euro Area advance October consumer confidence
  • Central Banks: Central Bank of Turkey monetary policy decision, Bank of England Governor Bailey and BoE’s Haldane speak
  • Earnings: Intel, Coca Cola, AT&T, Danaher, Union Pacific
  • Politics: Final US Presidential Debate

Friday October 23

  • Data: Flash October manufacturing, services and composite PMIs for Japan, France, Germany, UK and US, UK October GfK consumer confidence, September retail sales, Japan September nationwide CPI
  • Central Banks: Central Bank of Russia monetary policy decision, BoE’s Ramsden speaks
  • Earnings: American Express, Daimler, Barclays

Fed chair Jay Powell will speak on Monday in a moderated panel on cross border payments during the IMF annual meeting.

Fed vice chair Richard Clarida also speaks Monday, discussing the economic outlook of the country at a virtual event hosted by the American Bankers Association.

Works Cited:

https://www.zerohedge.com/markets/key-events-week-final-presidential-debate-earnings-and-pmis