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Posts Tagged ‘consumer confidence’

Thursday continues a busy earnings week, while data streams out of Asia, Europe and the Americas. As always, the second-to-last day of the work week means new jobs data out of the Department of Labor in the U.S. Add to that reports from KKR, PepsiCo, and Philip Morris International, and the Street may not have as much reason to stay quiet.

Here’s what you need to know.

• Japan starts the day off early with machine orders at 6:50 p.m. EST on Wednesday evening. Orders are seen contracting by 5.0 percent in December from a November reading.
• Chinese CPI and PPI will be announced at 10:30 p.m. EST. Year-on-year, the index measuring producer prices is seen advancing 0.8 percent, while consumer prices jump 4.0 percent in January. 
• At midnight EST, Japanese consumer confidence is set for release. The measure is expected to decline to 38.5 from 38.9. A reading below 50 indicates pessimism. 
• Switzerland’s State Secretariat for Economic Affairs will release its Consumer Climate Index at 1:45 a.m. EST on Thursday. Economists polled by Bloomberg forecast the index will advance to -22, from -24 in December. A reading above zero indicates optimism. 
• Industrial production in the U.K. is seen expanding by 0.2 percent in December. The measure will be released at 4:30 a.m. EST, along with a series of other data points from the island nation. Manufacturing production is also seen advancing 0.2 percent during the period.
• At 7:00 a.m. EST the Bank of England will announce if it is expanding its asset purchase program, as well as key rates. Economists polled by Bloomberg do not believe the central bank will adjust rates from the current 0.5 percent level, but that it will increase the asset program to £325 billion from £275 billion.
• The European Central Bank will announce any rate policy changes at 7:45 a.m. EST, although economists do not believe the bank will make any adjustments from the 1.0 percent level it currently stands at. 
• U.S. economic announcements kick off at 8:30 a.m. EST with initial jobless claims. Claims are seen ticking up by 3,000 to 370,000. Canadian new home prices will be announced at the same time, with prices forecast to increase 0.2 percent month-on-month in December.
• Closing out the day are early data releases in New Zealand, which could impact after-hours trading in the U.S. At 4:45 p.m. EST, New Zealand card sales will be released. Retail sales are expected to increase 0.5 percent in January from December. 

U.S. corporates reporting quarterly results on Thursday include names like KKR, PepsiCo, and Philip Morris International. Below, a roundup of tomorrow’s big announcers.

Bunge (BG): $1.55
Hercules Offshore (HERO): -$0.19
Teradata (TDC): $0.62
KKR & Co (KKR): $0.75
Coca-Cola Enterprises (CCE): $0.36
Sirius XM Radio (SIRI): $0.01
PepsiCo (PEP): $1.12
Sealed Air (SEE): $0.47
Stamps.com (STMP): $0.25
Activision Blizzard (ATVI): $0.56
Nuance Communications (NUAN): $0.36
Republic Services (RSG): $0.45
Expedia (EXPE): $0.51
Philip Morris International (PM): $1.09
Lorillard (LO): $1.95
Pitney Bowes (PBI): $0.60
Dunkin’ Brands Group (DNKN): $0.28
LinkedIn (LNKD): $0.07
Noble Energy (NBL): $1.16

Consensus estimates provided by Bloomberg. 

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See Also:

• Here Are The Key Market Moving Events For Monday, February 6, 2012
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Asian markets are mixed after Chinese PMI unexpectedly rose to 50.5 in January, just above the December reading of 50.3.

Japan’s Nikkei 225 is up 0.28%

Korea’s Kospi Index is up 0.40%

China’s Shanghai Composite is down 0.35%

Hong Kong’s Hang Seng is down 0.01%

Australia’s S&P/ASX 200 is down 0.57%

This comes after U.S. stock markets ended flat after a sharp drop in consumer confidence, and a weak reading of the November Case-Shiller home price index.

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• Asian Markets Inch Higher On Bullish Japanese Data
• Good News: Trading In Asia Starts Friday In The Green
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Economic uncertainty and the threat of another recession is causing consumers to take charge of their finances and cut back on debt according to the latest figures from the Bank of England.

Personal debt, excluding mortgages, fell by £377 million in December, the biggest fall since records began.

Howard Archer an economist at Global Insight said: “Consumer desire to get a tight grip on their finances is clearly the consequence of current heightened concerns over the outlook for the economy and jobs.

“Consumer confidence was at one of the lowest levels on record in December, and while it rose in January, it was still extremely weak compared to long-term norms.”

According to market research firm GfK NOP, consumer confidence recovered slightly this month, with an increase of four points to minus 29, its highest level since June 2011.

The improvement suggests that consumers are becoming more optimistic that the economy and their own finance will improve, even though GDP contracted 0.2 per cent in the final quarter of 2011.

GfK NOP attributes this improvement in consumer confidence to a fall in inflation and a sense of optimism carried over from the Christmas celebrations.

Last week Aviva published its Family Finance Report which suggests that families may be struggling with debt more that other groups.

The report suggests that family debt excluding mortgages has increased by 48 per cent in the last twelve months to £7,944.

Families have taken on another £2,500 in loans and credit card debt to fund the increase in their living costs, which have outstripped the average increase in incomes of around 7 per cent.

Credit cards account for the largest proportion of unsecured personal debt, with families owing an average of £2,314 on their cards.

The latest figures from the Land Registry show that house prices fell by 1.3 per cent in England and Wales in 2011, with the average property costing £160,384 in December.

Prices remained stable at the end of the year, with no change between November and December 2011.

The only place in England and Wales where house prices increased in December was London, where they rose by 0.8 per cent to an average of £345,298.

Over the year, property prices have increased by 2.8 per cent in the capital with estate agents reporting an increase in buyers from overseas who are exiting countries involved in the eurozone crisis, including Greece, Italy and Spain, in order to finder a safer place to invest.

Hartlepool recorded the biggest fall in property values in 2011, with an annual decline of 17.5 per cent.

For the north-east as a whole, house prices fell 7.1 per cent year-on-year in December 2011, more than any other region.

In the north-east the average house cost £99,000 at the end of the year.

The Land Registry also reported a fall in the number of completed sales in 2011.

Meanwhile, a survey by estate agent Rightmove suggests that 60 per cent of people who are moving house believe it is a buyers’ market, while just 13 per cent believe the balance of power is in sellers’ hands.

People in Scotland are most likely to perceive the housing market in this way and Londoners are the least likely.

Miles Shipside, director of Rightmove, said: “While parts of the stock-starved South, and London in particular, are feeling relatively bullish about prices, the turmoil of the last few years has wreaked havoc in parts of the buyer-blocked North.”

Rightmove’s ‘Consumer Confidence Survey’ was based on 32,111 online responses in January 2012.

Monday opens up a busy few days, although few corporates will release at the start of the trading week. However, that rapidly changes as the days progress and nearly 20% of S&P 500 listed companies announce quarterly results.

But more than just earnings, Monday is filled with a series of important macro announcements, including reports out of Japan, Italy, Germany, and the U.S. 

Here’s what you need to know.

• The Philippines start the day off with fourth quarter GDP. Economists expect the nation to see an annualized rate of 3.80%, which would represent an acceleration from the third quarter.
• At 3:00 a.m. EST Taiwan will announce unemployment, which is seen roughly flat at 4.33%.
• Attention then shifts to Europe, where at the same time, Slovakia and Spain will announce consumer confidence and GDP, respectively. Slovakian confidence last stood at -40.8. A reading below zero represents negative expectations. In Spain, the economy is expected to contract 0.2% quarter-on-quarter.
• Italy takes center stage at 4:00 a.m. EST, when it announces business confidence. Expectations are for the headline indicator to decline 20 basis points to 92.3. 
• At 5:00 a.m. the European Central Bank will report its own confidence readings for a variety of sectors. Expectations are for consumer confidence in the region to remain flat at -20.6, while business conditions improve marginally to -0.25 from -0.31.
• Economic announcements move to Latin America for the next several hours, when Chile and Brazil release data. Brazilian inflation is expected to rise to 0.3%, from a negative reading in December. Chile will announce industrial production at 7:00 a.m. EST, with economists forecasting a rise, albeit at a lower pace. The headline figure is forecast at 1.2%.
• The United States releases personal income and spending at 8:30 a.m. EST. Economists polled by Bloomberg see incomes expanding by 0.4%, with spending increasing 0.1%. 
• Then, at 10:30 a.m. EST, the Dallas Federal Reserve will announce manufacturing activity in the region, which covers Texas, northern Louisiana and southern New Mexico. The reading is expected to rise to zero, from -3 in December.
• Closing out the day are relatively early announcements in Asia, which can still impact after-hours trading in the U.S. At 4:00 p.m. EST South Korea will report industrial production. Economists see production surging 1.1% in December, from a -0.4% reading a period earlier. Then, at 4:30 p.m. EST, Japan will announce its jobless rate, which is expected to remain flat at 4.5%, followed by industrial production 20 minutes later, which is seen reversing a decline last month and growing 2.9% in January.

U.S. corporates reporting quarterly results on Monday include Gannett and Wendy’s. Below, a roundup of tomorrow’s big announcers.

Wendy’s (WEN): $0.04
Gannett (GCI): $0.69
McKesson (MCK): $1.38
Diamond Foods (DMND): $0.73

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See Also:

• Here Are The Key Market Moving Events For Friday, January 27, 2012
• Here Are The Key Market Moving Events For Thursday, January 26, 2012
• Good News: Trading In Asia Starts Friday In The Green