Markets will remain focused on earnings as major corporates across the technology, communication, and health care industries report quarterly results on Tuesday.On the economic data front, leading indicators out of Europe and Asia will set the tone overseas. There are, however, no major U.S. announcements for the day — apart from Richmond Fed activity.
Here’s what you need to know.
- The Bank of Japan will kick off the day, as it announces the results of recent monetary policy meetings and what it sees happening over the coming months. Economists polled by Bloomberg do not see the central bank changing its target rate from 0.10%.
- French and German PMI start Europe at 3:00 a.m. and 3:30 a.m. EST, respectively. France is expected to see further cooling during January, with manufacturing PMI falling 30 basis points to 48.6 and service PMI declining to 50. In Germany, the manufacturing and service indexes are seen improving, to 49 and 52.5, respectively. A reading above 50 indicates economic expansion for the sector.
- The European Central Bank will announce industrial new orders for November at 5:00 a.m. EST, with expectations orders to contract 2.20%, reversing a 1.80% gain in the previous month.
- Canadian core retail sales are forecast to slow to 0.20% growth in November. Statistics Canada will release the report at 8:30 a.m. EST.
- At 10 a.m. EST, the Richmond Federal Reserve will announce manufacturing activity in the region. Economists expect business conditions as measured by the index to improve to seven, from three presently. A reading above zero indicates an improving landscape.
- Latin American news will centre around Argentina and Mexico. Industrial production in Argentina is forecast to slow 240 basis points to a 1.60%. Mexico will announce its economic activity indicator at 9:00 a.m. EST. Economists see the indicator, which is an early estimate for real GDP, at 3.55%.
- Israel is expected to announce November 2011 unemployment on Jan. 24, however a time has not been scheduled. The last reading indicated a 5.00% jobless rate.
- Russian unemployment is tentatively scheduled for announcement on Jan. 24. Economists see a 30 basis point increase for December, to 6.60%.
U.S. corporates reporting quarterly results on Tuesday include McDonald’s, Apple, Verizon and Yahoo. Below, a roundup of tomorrow’s big announcers.
McDonald’s Corp (MCD): $1.29
Baker Hughes (BHI): $1.32
travellers Cos (TRV): $1.52
KeyCorp (KEY): $0.20
AK Steel Holding (AKS): -$0.38
Peabody Energy (BTU): $1.31
EI du Pont (DD): $0.33
EMC Corp (EMC): $0.46
Coach (COH): 1.15
Verizon Communications (VZ): $0.53
Stryker (SYK): $1.03
Norfolk Southern (NSC): $1.40
Apple (AAPL): $10.09
Yahoo! (YHOO): $0.24
Advanced Micro Devices (AMD): $0.16
Johnson & Johnson (JNJ): $1.10
Kimberly-Clark (KMB): $1.30
Regions Financial (RF): $0.05
Waters (WAT): $1.50