A number of high-profile companies are scheduled to report earnings this week. Bank stress tests and inflation data will be other highlights.
Carnival reports on Monday, followed by
Walgreens
Boots Alliance on Tuesday. On Wednesday, Micron Technologies and
General Mills
release results, then
Nike,
McCormick,
and
Paychex
go on Thursday.
Constellation Brands
closes the week on Friday.
On Wednesday, the Federal Reserve will reveal the results of its annual stress test of the U.S.’s largest banks, including determining how much banks can return to shareholders via stock buybacks and dividends.
Economic data out this week will include the Census Bureau’s durable goods report for May and new-home sales data for May, both on Tuesday.
The Bureau of Economic Analysis will also report personal income and expenditures data for May on Friday. Economists are expecting to see a 0.4% rise in income and a 0.3% increase in spending last month. The Federal Reserve’s preferred inflation measure, the core personal-consumption expenditures price index, is forecast to be up 4.7% from a year earlier, matching April.
Monday 6/26
Carnival reports second-quarter fiscal-2023 results.
Tuesday 6/27
Jefferies Financial Group
and Walgreens Boots Alliance announce earnings.
Delta Air Lines
holds its 2023 investor day.
The Census Bureau releases the durable goods report for May. Economists forecast that new orders for manufactured durable goods declined 1% from April to $280 billion.
The Census Bureau reports new-home sales data for May. Consensus estimate is for a seasonally adjusted annual rate of 659,000 new single-family homes sold, 24,000 fewer than in April. The median sales price was $420,800 in April, 15.3% less than the record high of nearly $500,000 from last October.
Wednesday 6/28
Micron Technology
reports third-quarter fiscal 2023 results. The company is expected to lose $1.58 per share on sales of $3.7 billion, compared with a profit of $2.59 a share on $8.6 billion of revenue a year earlier. Yet, Micron stock is up 31% this year on hopes that demand has bottomed.
General Mills releases fourth-quarter fiscal-2023 results.
The Federal Reserve releases the results of its annual stress test of the nation’s largest lenders. The test is a key factor in determining how much banks can return to shareholders via stock buybacks and dividends as it sets the capital cushion that banks must maintain to withstand a series of market and economic shocks. Banks with $100 billion or more in assets are subject to the stress test, with larger banks required to participate annually, and banks with $100 to $250 billion in assets required to participate every other year.
Thursday 6/29
McCormick, Nike, and Paychex host conference calls to discuss earnings.
The Bureau of Economic Analysis releases its third and final estimate of gross-domestic-product growth for the first quarter. Expectations are for GDP to have increased at an annual rate of 1.4%, a tenth of a percentage point more than the BEA’s second estimate from late May.
Friday 6/30
Constellation Brands reports first-quarter fiscal-2024 earnings.
The BEA reports personal income and expenditures for May. The consensus call is for income to rise 0.4% month over month, matching the April data. Spending is seen increasing 0.3%, following a 0.8% gain in April. The Federal Reserve’s favored inflation gauge, the core personal-consumption expenditures price index, is expected to increase 4.7% year over year, unchanged from April.
The Institute for Supply Management releases the Chicago Business Barometer for June. Economists forecast a 44.2 reading, almost four points more than in May. The index has had nine consecutive readings below the expansionary level of 50.
Write to Nicholas Jasinski at nicholas.jasinski@barrons.com
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