3 Things to Watch -Breaking
Investing.com – U.S. stocks got caught in a tech meltdown on Tuesday ahead of the kick off to earnings reports from Microsoft Corporation (NASDAQ:) and Alphabet (NASDAQ:) Inc Class C (NASDAQ:), which will report after the closing bell.
The tech-heavy sector was already on the way to closing the 3% gap.
The story is not complete without global growth concerns. An outbreak of Covid-19 cases in China has sparked new fears of lockdowns in the capital city of Beijing that could further impede that country’s growth. Already, the U.S. has been affected by lockdowns in Shanghai, other parts of China, and this is spreading to American companies who rely on that production.
The Federal Reserve will likely raise rates next week by half-point to address the red-hot inflation which has been lingering for much longer than expected. There are also new fears that the Fed’s moves will be so aggressive in the coming months that the U.S. economy could tip into recession.
Inflation pressure has already threatened consumer spending. However, April consumer confidence was about the same as March. It was slightly lower than what we expected.
Investors may also be able this week to assess the appetite and willingness of customers to eat out, as more restaurants reopen following the disappearance of Covid-19 in the U.S.
These are the three factors that will impact markets tomorrow.
1. Meta earnings
Some notable earnings releases are scheduled for Wednesday by companies like Meta Platforms Inc (NASDAQ :), T-Mobile and Boeing.
Survey of analysts by Investing.comMeta, the parent company behind Facebook, is expected to announce earnings per share (EPS) of $2.56 on revenues of $28.32 Billion. It missed its earnings per share estimates in the previous report. Meta reports on Wednesday after the close.
2. Earnings at T-Mobile
T-Mobile US Inc. (NASDAQ:) reports prior to the open and is expected to report earnings per share at 44cs for revenue of $20.19billion.
3. Boeing Earnings
Finally, Boeing Co The (NYSE:) also reports before the open and is likely to report a loss of 19c per share on $16.13 billion in revenue. Over the weekend, reports surfaced that the plane-maker’s rollout of its 777 would be delayed to the end of 2024.