Investing.com - Here’s a preview of the top 3 things that could rock markets tomorrow
It’s rate decision day
The Federal Reserve Open Market Committee (FOMC) got its two-day policy meeting underway on Tuesday amid expectations the central bank will leave interest rates unchanged.
Investors, however, will parse the policy statement on Wednesday for fresh inisight into the central bank’s thinking on monetary tightening.
Following its decision to raise rates in June for the second time this year, the Fed said that the slowdown in inflation was transitory and signalled its intention to raise rates at least once more this year.
Ahead of the Fed’s decision on interest rates, better-than-expected consumer confidence data underpinned a move higher in both treasury yields and the dollar.
U.S. crude stockpiles to show fourth-straight weekly decline?
A fresh batch of inventory data from the Energy Information Administration (EIA) on Wednesday is expected to show that U.S. crude stockpiles fell for a fourth-straight week.
Analysts forecast crude inventories fell by about 2.6m barrels in the week ended July 21.
Crude futures have started the week on the front foot, after hitting a seven-week high on Tuesday, following Saudi Arabia’s pledge to curb exports to reduce the glut supply, which has pressured oil prices for more than three years.
After settling more than 3.3% higher on Tuesday, crude prices added 1% after reports surfaced that the US crude stockpiles dropped 10.2m barrels for the week ended July 21.
Facebook reports for earnings duty
Facebook (NASDAQ:FB) is slated to report earnings after the market closes on Wednesday. Facebook’s revenue for the quarter will be one of the most closely watched metrics as investors gauge whether the social media company has translated its two billion user milestone into stronger top-line growth.
Facebook's year-over-year revenue growth in its first quarter was 49%, down from 54% in the fourth quarter of 2016.
The social media company’s outlook is expected to come under intense investor scrutiny, after management warned that it can’t keep up with the impressive revenue growth achieved during the previous two quarters.
Facebook is expected to post earnings of $1.11 per share on $9.19 billion of revenue.