FOMC Statement To Steal The Show This Week

Best Growth Stock – The upcoming week is expected to be very busy for the investors as they might be flooded with earnings, but they should perhaps hiatus to have a look at the Federal Open Market Committee’s rate decision statement on Wednesday and Friday’s readings on the fourth quarter economic growth. The committee is set to meet on Tuesday for a two day meet which would result in the release of its decision statement.

According to Nino Jimenez, Senior Vice President at Brinson Patrick, out of the 60 companies who have reported results subsequent to this news, 43 companies have shown surprising results on the positive aspect, whereas only 23 companies witnessed their stock prices increasing steadily following the news. He added by saying that while the earnings are positively inclined through stock market, but because of instability in the market trends, the investors are planning for a pullback. But still, Nino Jimenez considers that earnings would be the main driver of the stock market in the following weeks and result in the higher prospects in future.

As there are no such expected economic releases for Monday, McDonald’s (MCD) and Halliburton (HAL) shared the spotlight as they gave and reported ahead to beginning of today’s (Monday) trading. Analysts are expecting earnings of $ 1.15 and 63 cents per share, respectively. Subsequent to the close, Texas Instruments (TXN) and American Express (AXP) will steal the show corresponding to their respective reports. As far as the analysts are concerned, they are anticipating earnings of 63 cents and 94 cents, for the respective companies.

Tuesday’s session is pronounced to have a kick start with two aspects of November housing market data, the Federal Housing Finance Agency home price index and the Standard & Poor’s Case-Shiller 20-city home price index. However, the main draw is likely to be the Conference Board’s read on January consumer sentiment.

Whether the market will be bullish or bearish is still unanswered. If we consider what Christian Hviid, chief market strategist for Genworth Financial Asset Management has to say, though the last numbers were quite disappointing and weaker than it was expected, but analysts are considering it to be just an aberration and they are still anticipating an improvement in the present investment market scenario. The analysts had expected market to climb to 56.1 in December, as of 54.3 in November but market showed some abnormalities and corrections which led to a downtrend of 52.5 in the month of December.

There is more to come up on Tuesday, as the members of the Federal Reserve’s monetary policy setting arm are assembling for a two day conference which will wrap up with the release of its rate decision statement, which is expected on Wednesday at 2:15 EST. Even though many of the analysts as well as economists are not anticipating any modifications to the rate or the Fed’s asset purchase program, still the statement will be evaluated for variations to bring about growth and appraisal in the economic condition or for improvement in the future policy moves.