Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Economic Calendar - Top 5 Things to Watch This Week

Published 04/19/2020, 06:59 AM
Updated 04/19/2020, 07:03 AM
© Reuters.

© Reuters.

By Noreen Burke

Investing.com - While dozens of earnings reports are expected in the coming week and economic data will bring more insights into the impact of the coronavirus the main focus will still be on developments relating to the virus and how soon the economy can reopen. Around 20% of S&P 500 companies are expected to report results in the coming week and there are also some important economic reports, including U.S. jobless claims, durable goods and existing home sales. The euro zone is to release PMI data for April along with reports from Germany’s ZEW and Ifo, while the U.K. is set to publish figures on unemployment, inflation and retail sales. Here’s what you need to know to start your week.

  1. Some states to begin lifting coronavirus restrictions

U.S. President Donald Trump said on Saturday that Texas and Vermont will allow certain businesses to reopen on Monday while still observing coronavirus-related precautions.

Demonstrations to demand an end to stay-at-home measures spread to Texas on Saturday. Trump appeared to encourage protesters with a series of Twitter posts on Friday calling for them to "LIBERATE" Michigan, Minnesota and Virginia, all run by Democratic governors.

Trump has touted a thriving economy as the best case for his re-election in November.

Several states, including Ohio, Michigan, Texas and Florida, have said they aim to reopen parts of their economies, perhaps by May 1 or even sooner, but appeared to be staying cautious.

Vice President Mike Pence said on Friday the U.S. had the capacity to do a sufficient amount of testing for states to move into a phase one of reopening, but Governors and state health officials say there is nowhere near enough test kits and equipment available.

The U.S. has by far the world's largest number of confirmed coronavirus cases, with more than 720,000 infections and over 37,000 deaths.

  1. Earnings deluge

Around one hundred S&P 500 companies are expected to report results this week, as investors digest a market surge that has lifted the S&P index 25% from its March lows as of Thursday. Those include major industrial, tech and consumer products companies, as well as streaming company Netflix (NASDAQ:NFLX), whose shares rose to a record high in the past week as widespread stay-at-home orders drove demand for online streaming services.

Some of the companies also reporting are among those worst hit by the pandemic’s fallout, including airlines such as Delta Air Lines (NYSE:DAL) and Southwest Airlines (NYSE:LUV).

Investors are bracing for brutal first-quarter earnings but will also be on the lookout for indications of how soon business can get back on track.

  1. U.S. initial jobless claims may ease

Initial jobless claims could slow again this week as the initial reaction to shutdowns starts to ease. More than 22 million Americans have filed for unemployment benefits in the past month as closures of businesses and schools and severe travel restrictions have hammered the economy.

Durable goods orders are expected to plunge, given recent weakness in manufacturing data and the collapse in the oil and gas sector caused by tumbling commodity prices.

The calendar also features updates on new and existing home sales and PMI data, which is expected to drop further.

Meanwhile, the Federal Reserve is in blackout mode ahead of its next scheduled policy meeting on April 29th.

  1. Euro zone PMI pain

Thursday’s advance readings of euro zone PMIs for April are likely to make for painful reading.

Composite euro zone PMIs, comprising services and manufacturing, dropped to a record low of 29.7 last month, the biggest monthly drop since the survey began in July 1998.

In addition to the PMI data reports from Germany’s ZEW and Ifo Institutes will shed more light on the health of the bloc’s largest economy as it prepares to ease virus lockdown measures.

Euro zone finance ministers are to meet on Thursday to continue discussions about an EU fund to boost the recovery.  The issue of joint European debt, or corona bonds, is likely to come up again, but the chance they will ever see the light of day remains slim.

  1. UK data to give first real look at economic hit

The scale of the economic fallout from coronavirus pandemic in the UK is likely to be both larger, and much more rapid, than that of the Global Financial Crisis.

With that in mind, some economists expect Thursday's retail sales figures to show a decline of around 10%, but this number could be much larger based on other spending indicators already released. PMI data is also expected to point to a steep slowdown in activity.

The week will also bring what will be closely watched updates on unemployment and inflation.

--Reuters contributed to this report

 

Latest comments

Futures are gonna be ughly tomorrow opening 😱
-1000 at close
Unemployment means no spending except food and rent no gonna drive unless necessary and congress senate Lolly gagging on emergency money excellent this is Oliver Twist. Two classes rich and pheasants we have reached a new low
We have not reached bottom on oil Lakers see if markets can stay steady or crash
Can’t give oil away it’s called unemployment everybody get used to it
Business as usual for senate congress cmon November we are living Oliver Twist begging for scraps they can’t even push emergency money for small business terriable depression under way thanks trump for ignoring the virus and congress senate for screwing around
I predict-850 Maybe more
We are in trouble between cabin fever oil getting killed and people passing away by the hour markets be green tomorrow unless they break the cycle
Trump needs to be removed from office congress and senate still squabbling over relief funding for us pheasants depression is almost here wait it is can’t wait to see Thursday unemployment numbers 😂
Gonna be ughly close worse than-500 more like-800 oil is ******the markets
It’s going to be an L-shaped recovery like this ...
Tomorrow’s opening could be anything futures are flat all trump wants to f dc o is put pheasants back to work
So the people want to ignore the virus and have a good time outside their houses excellent
Almost a million cases in USA and trump wants open economy he’s insane let’s do it and continue infection
man stay in ur house and let true america do what they do best for themselves and the USA. ur hand outs will be gone soon good luck 👍
Everybody wants to open in May cabin fever trumps virus no pund there they rather risk health over getting out excellent let the infection go back up
Futures will tell the story at 5:00 cst same ole story here maylasia cant control it at least gilead is promising Boeing gonna start up up again 3 hrs to go
And the most important 6. Thing to know this week. The stock market crash is coming!
Almost Everybody hates usa because usa is the riches country. just like Most of us hate the rich.
To those who hate Trump and want to move to Canad.... what makes you think they want you?
usa is the envy of the world!
USA !
maga king move and never come back please
Fed backed off from buying treasuries and reduced purchases of bond ETFs by 50%, thus expect downward trajectory.
They've backed off until they need to step in again. Don't worry stimulus 4 then 5 then 6 are coming as needed.
Everybody knows they are reducing purchases. Already in the price. market WILL keep going up
I like Canada. but Trudeau stabbed Mr Trump in the back!
Ask what had Trump done.
Chan, Chen & Wong...Three Muskateers
The average American investor seems pretty smart, buying on Trump's tweets of kickstarting the economy and not relying on data
Unfortunately this kind of text doesn’t have credibility anymore
Why do they even write these articles. The free market is dead. Risk behavior will be bailed out by the Fed. Fundamentals and earnings don't matter. Stocks go up.
That what I’ve just wanted to write. All this investing site doesn’t have any sense anymore. We can go to casino because there is no difference last few years and especially last 3 weeks. Only lies, manipulation and FED (Trump)
if this investing site doesn't have any sense anymore why do you keep coming back here? keep off. No one is forcing you to read it.
child reply. Did You write text? We all know what we need to watch. TRUMPPPPP
obvious first quarter flop. bet your brand, hold til 2nd quarter ta-da
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.