Hope everyone had a good first full week of the year. Next week, earning season begins again, so get ready!
Although it's still early, here's how different asset classes have been doing year-to-date:
Here are some of the key economic events on the calendar for the week ahead:
Monday January 13
- Japanese Markets Closed for "Respect for the Aged Day"
- U.K. Gross Domestic Product (GDP) (Q4)
- U.K. Industrial Production (Nov.)
- U.K Trade Balance (Nov.)
- Indian Consumer Price Index (CPI) (Dec.)
- China Trade Balance (Dec.)
Tuesday January 14
- U.S. CPI (Dec.)
- China New Loans (Dec.)
Wednesday January 15
- French CPI (Dec.)
- U.K. CPI (Dec.)
- Eurozone Industrial Production (Nov.)
- Eurozone Trade Balance (Nov.)
- U.S. Producer Price Index (PPI)
Thursday January 16
- German CPI (Dec.)
- European Central Bank Monetary Policy Meeting Account
- U.S. Retail Sales (Dec.)
- Philidelphia fed Manufacturing Index (Jan.)
- U.S. Business Inventories (Nov.)
- China GDP (Q4)
- China Industrial Production (Dec.)
Friday January 17
- U.K. Retail Sales (Dec.)
- Eurozone CPI (Dec.)
- U.S. Building Permits (Dec.)
- U.S. Housing Starts (Dec.)
- U.S. Industrial Production (Dec.)
- Job Openings and Labor Turnover Survey (Nov.)
- Michigan Consumer Sentiment Preliminary Reading (Jan.)
Big Bank Earnings
Next week earnings season starts off with many of the big banks reporting earnings. The big question on our minds here at Investopedia is, "How will they fare after the three rate decreases last year?" Since banks rely on their net interest margin for much of their profits, the decrease in the fed funds rate is going to put pressure on earnings. For more in-depth earnings previews on JPMorgan and Bank of America, check out our stories here, and here.
We've mentioned multiple times that it's consumer spending that is holding up the U.S. economy. Industrial production hasn't been doing so hot, and neither is CEO sentiment, but consumer sentiment and spending have stayed strong. December U.S. retail sales, which are released Thursday, will be a key bellwether for the U.S. economy. Make sure to keep an eye out to see how U.S. consumers were feeling during that all-important holiday season.
Next Wednesday, January 15, date that President Trump said that phase one of the U.S.-China trade deal would finally be signed. Trade tensions with China have certainly waned, however, this isn't the first time that phase one was supposed to have been signed, so maybe don't get your hopes up too much.