Investing.com - Here’s a preview of the top 3 things that could rock markets tomorrow
UK Consumer, Wholesale Inflation
GBP/USD could be the ‘one to watch’ in Tuesday’s session as the consumer price index is expected to have slowed to 2.9% while the producer price index is expected to show input costs rose 0.7%, faster than 0.1% increase reported in the previous month.
The pair of inflation reports comes as the Bank of England left interest rates unchanged last week but signalled it may need to raise rates earlier than expected to curb the rapid pace of inflation.
Bank of England's Vlieghe said Monday a stronger world economy and labour market tightness points to further rate increases.
API Invenotry Report, IEA Monthly Report
Traders look ahead to a fresh batch of crude oil inventory data from the American Petroleum Institute due Tuesday.
The American Petroleum Institute reported crude oil stockpiles unexpectedly fell by 1.05 million barrels for the week ended Feb. 9.
The International Energy Agency’s monthly report is also expected to be closely watched for clues on global oil demand growth and supply estimates.
Crude oil futures settled higher on Monday in the wake their 9% drop last week which followed concerns over rising US output.
PepsiCo Reports Q4 Earnings
PepsiCo Inc (NASDAQ:PEP) is expected to release fourth quarter earnings before US markets open Tuesday. Analysts expect the company to report a similar performance as reported in the third quarter, when falling revenues from carbonated drinks in the US – which account for 31% of total revenues – was offset by solid revenue gains in snacks and emerging markets.
PepsiCo’s weakness in carbonated drinks comes amid the ‘health and wellness’ trend which has led consumers away from carbonated drinks toward healthier alternatives.
Analysts expect PepsiCo to deliver earnings per share and revenue of $1.30 and $19.41 billion, respectively.