Week ahead: BOJ minutes; GDP growth rates; inflation; consumer confidence; Kingfisher; H&M
The minutes of the latest Bank of Japan meeting comes a week after the Fed signalled the economy was moving in the right direction for it to start cutting rates.
Look out for the latest GDP growth rate print from the UK and Germany. France and the US release consumer confidence figures. Plus, Kingfisher and retailer H&M hand in their corporate report cards.
(AI Video Summary)
Economic data expected
In this video, Angeline Ong talks about what to expect in terms of economic events and corporate earnings for the upcoming week. She starts by discussing actions taken by central banks, like the rate cuts made by the SNB. She also mentions that the ECB and the Bank of England are expected to make rate cuts in the future.
Ong highlights some key economic indicators to keep an eye on, such as the Bank of Japan minutes, consumer confidence numbers from Australia and Germany, the S&P/ Case-Shiller home price index from the US, inflation in Australia, and retail sales and GDP growth readings from Germany, Australia, the US, and the UK.
Next, she talks about the initial public offering (IPO) of social media app Reddit. She interviews Tom Sosnoff, the CEO of tastylive, who believes that Reddit is a great concept and a popular app. He praises Reddit for giving shares to its volunteer moderators and eligible users, which he thinks is a smart move. Although the IPO has been successful so far, Sosnoff points out that the stock may be at the higher end of its price range and its long-term performance is uncertain.
Federal Reserve and rate cuts
The discussion then shifts to the Federal Reserve and its approach to interest rates. Sosnoff commends the Fed for letting the market determine its own direction. He thinks that the Fed would like to lower rates, but the current market conditions may not allow for that. Sosnoff also expresses his belief that the stock market is expensive and at all-time highs, with greater potential for a decline than for further gains.
Company earnings reports
Lastly, Ong mentions several company earnings releases scheduled for the upcoming week, including Kingfisher, Pennon Group, Ocado, Fevertree, John Wood Group, H&M, Walgreens Boots Alliance, EnQuest, and Flutter Entertainment. She notes that although it's not the start of the earnings season, it will still be a busy week for corporate announcements.
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