Investors Await FOMC Minutes, Fed Speeches, and Earnings from Walmart, Alibaba, and Rivian
The financial markets are set for a busy week following the Presidents’ Day holiday closure on Monday. With a packed schedule of corporate earnings, Federal Reserve updates, and key economic indicators, investors will be closely watching the direction of stocks, bonds, and interest rate expectations.
Highlights for the week ahead include:
- Major earnings reports from Walmart (WMT), Alibaba (BABA), Baidu (BIDU), Carvana (CVNA), and Rivian (RIVN)
- Federal Reserve policy insights, including minutes from the January FOMC meeting and speeches from top Fed officials
- Key economic data releases, such as housing starts, jobless claims, and consumer sentiment
As markets digest these updates, the S&P 500 (^GSPC), Nasdaq Composite (^IXIC), and Dow Jones Industrial Average (^DJI) will remain in focus, particularly as investors assess the potential for interest rate cuts later in 2025.
Markets Closed Monday for Presidents’ Day
U.S. stock and bond markets will be closed on Monday, February 17, in observance of Presidents’ Day. Trading will resume on Tuesday, with market participants looking ahead to a wave of earnings and economic reports.
Earnings Season Continues: Walmart, Alibaba, and Rivian in the Spotlight
Corporate earnings season remains in full swing, with major companies across different industries set to report this week.
Tuesday, February 18
- Baidu (BIDU): Investors will look for signs of growth in China’s e-commerce and AI sectors, particularly in the wake of economic challenges in the region.
- Occidental Petroleum (OXY): The energy giant’s earnings will reflect the impact of oil price fluctuations and global energy demand.
Wednesday, February 19
- Carvana (CVNA): As the used car market stabilizes, analysts will examine Carvana’s ability to maintain profitability and improve inventory levels.
- HSBC Holdings (HSBC): With its significant exposure to international markets, global economic trends and interest rate policies will be key earnings factors.
- Apple (AAPL): The tech giant has scheduled a product launch event, which could impact stock performance and market sentiment.
Thursday, February 20
- Walmart (WMT): The world’s largest retailer is expected to provide insights into consumer spending trends, inflationary pressures, and holiday sales performance.
- Alibaba (BABA): As a major player in China’s e-commerce space, Alibaba’s earnings will be a barometer for China’s economic recovery and consumer sentiment.
- Rivian (RIVN): The electric vehicle (EV) maker’s results will be scrutinized for production updates, delivery figures, and profitability progress.
Friday, February 21
- United States Cellular (USM): Investors will assess how competition and 5G expansion efforts impact the telecom company’s financial performance.
Federal Reserve Watch: FOMC Minutes and Speeches from Fed Officials
With investors closely monitoring interest rate policy, this week’s Federal Open Market Committee (FOMC) meeting minutes and speeches from key Fed officials will be critical.
Key Fed Events:
- Monday, February 17: Philadelphia Fed President Patrick Harker is scheduled to speak.
- Tuesday, February 18: San Francisco Fed President Mary Daly will provide her outlook on inflation and economic growth.
- Wednesday, February 19:
- The FOMC minutes from the January meeting will be released, offering clues about the Fed’s future rate decisions.
- Market expectations currently price in one or two rate cuts in 2025, but the minutes may provide more clarity on the Fed’s stance.
- Thursday, February 20:
- Chicago Fed President Austan Goolsbee and St. Louis Fed President Alberto Musalem are scheduled to speak.
What Investors Are Watching:
- Inflation trends: Will the Fed confirm that inflation is easing enough to justify rate cuts later this year?
- Economic growth outlook: Are there risks of a slowdown that could prompt earlier-than-expected monetary easing?
- Labor market conditions: Will the Fed express concerns about job growth and wage inflation?
Key Economic Data: Housing, Manufacturing, and Consumer Sentiment
Tuesday, February 18:
- Empire State Manufacturing Index (February): A snapshot of New York’s manufacturing sector, which can signal broader economic trends.
- Homebuilder Confidence Index (February): Measures optimism among homebuilders, reflecting demand and housing affordability.
Wednesday, February 19:
- Housing Starts & Building Permits (January): A key indicator of the real estate market’s strength, given concerns over high mortgage rates.
Thursday, February 20:
- Initial Jobless Claims (Week ending Feb. 15): A leading indicator of the labor market’s health.
- Philadelphia Fed Manufacturing Index (February): A measure of business conditions in the manufacturing sector.
- U.S. Leading Economic Indicators (January): A gauge of future economic trends and potential recession risks.
Friday, February 21:
- S&P Flash U.S. PMI (February): A broad measure of business activity across manufacturing and services sectors.
- Consumer Sentiment (Final, February): Reflects consumer confidence in the economy, a key driver of spending and investment.
- Existing Home Sales (January): Helps assess the health of the housing market amid elevated mortgage rates.
Market Outlook: Can Stocks Maintain Momentum?
The S&P 500 recently hit record highs, supported by strong corporate earnings and optimism about potential rate cuts. However, inflation concerns and Fed policy uncertainty remain key risks.
Factors Driving Markets This Week:
✅ Earnings Results: Will companies like Walmart and Alibaba meet or exceed expectations?
✅ Fed Policy Signals: Do the FOMC minutes indicate a more dovish stance on rate cuts?
✅ Consumer Spending Trends: Are U.S. consumers still driving economic growth despite inflationary pressures?
Final Thoughts: What to Expect This Week
With a holiday-shortened trading week, investors will focus on:
- Earnings reports from major companies like Walmart, Alibaba, and Rivian
- The release of the FOMC minutes for clues on interest rate policy
- Housing, labor market, and manufacturing data to gauge economic strength
While markets have remained resilient, economic data and Federal Reserve signals could influence stock direction in the coming weeks. Investors should remain vigilant as volatility could rise based on earnings surprises or unexpected policy shifts.
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