What to Watch in the Day Ahead - Wednesday, February 5

McKesson

04/02/2025 19:32

(The Day Ahead is an email and PDF publication that includes the day's major stories and
events, analyses and other features. To receive The Day Ahead, Eikon users can register at
 DAY/US . Thomson One users can register at RT/DAY/US. All times in ET/GMT)
Walt Disney reports first-quarter results. Analysts expect its entertainment business to benefit
from the strong box office performance of "Moana 2" and "Mufasa: The Lion King", though the
company's theme park business may be adversely impacted by its investment in the cruise ship
business as well as two recent hurricanes in Florida. 
    
On U.S. economic data front, the ADP national employment report is expected to show that private
payrolls likely grew by 150,000 jobs in January, after advancing by 122,000 jobs in the month
before. Meanwhile, the Institute for Supply Management is expected to report that
non-manufacturing PMI likely inched up to 54.3 in January from 54.1 in the prior month.
Additionally, S&P Global composite and services final PMI data for January are also due.
Separately, the Commerce Department's Census Bureau is expected to report that the country's
international trade deficit widened to $96.6 billion in December from $78.2 billion in November.
    
Ford is expected to report its fourth-quarter and full-year results.
    
Qualcomm is set to report a jump in its first-quarter revenue. Investors will focus on
indications of on-device AI driving demand.
    
Several Federal Reserve officials are scheduled to speak at different events through the day.
Federal Reserve Board Governor Michelle Bowman is set to give a brief economic update and bank
regulation remarks before the 2025 Kansas Bankers Association Harold A. Stones Government
Relations Conference in Topeka. (1500/2000) Chicago Fed President Austan Goolsbee is slated to
speak on economic perspectives before the hybrid 31st Annual Automotive Insights Symposium in
Chicago. (1430/1930) Meanwhile, Fed Vice Chair Philip Jefferson is expected to give a lecture,
"Do Non-Inflationary Economic Expansions Promote Shared Prosperity?" at Swarthmore College in
Pennsylvania. (1930/0030) Additionally, Richmond Fed President Thomas Barkin is set to
participate in a fireside chat before the Conference Board "2025: A Year in Preview" Conference
in New York. (0900/1400)
    
Analysts expect Uber to report a rise in fourth-quarter revenue helped by demand for
ride-hailing services during the holidays. Investors expect the company to comment on its
robotaxi partnerships, offerings and expansion to compete with rivals in the sector.
    
Arm Holdings is expected to post an increase in third-quarter revenue, helped by companies
designing new chips due to a rapid increase in artificial intelligence applications.
    
Michael Kors parent Capri Holdings is expected to post a decline in third-quarter revenue, hurt
by sluggish demand for its luxury brands. Investors will look for comments on the company's
performance in terms of sales, margins and debt pressures, and potential suitors for the sale of
Versace and Jimmy Choo brands or the entire group.
    
Drug distributor Cencora is expected to report first-quarter results. Investors are expected to
look out for any changes to its annual profit forecast. Meanwhile, Mckesson is expected to give
its third-quarter results. Investor focus will be on the performance of its specialty and
branded drugs.
    
Bitcoin buyer MicroStrategy is expected to post a fourth consecutive quarterly loss when it
reports its fourth-quarter earnings.
    
Grain trader and processor Bunge is expected to post a fall in its fourth-quarter profit.
Investors will be on the lookout for comments on its $34 billion acquisition of Viterra, which
still needs to clear some regulatory hurdles.
    
News Corp is slated to report a rise in second-quarter profit despite declining revenue, as the
company's efforts to realign its focus on its core publishing business — including the sale of
its Australian cable-TV unit Foxtel to DAZN — is helping the company to cut back on costs.
    
Boston Scientific is set to report fourth-quarter results. Investors will look out for updates
to its 2025 outlook apart from Q4 sales of its heart devices.  
    
Payments firm Fiserv is expected to post a rise in fourth-quarter profit, as spending trends
remained robust.
    
Allstate is expected to report a higher profit when it reports its fourth-quarter earnings.
Investors will watch out for updates from the company on the impact from the LA fires.
    
Canada's trade balance data for December is likely to show a surplus of C$750 million, following
a deficit of C$323 million in November. 
    
In Latin America, Brazil's statistics agency, IBGE, is expected to report that industrial
production likely fell 0.5% in December, after recording a fall of 0.6% in the prior month.
Annually, industrial production likely rose 1.1.% in December. Investors will also look out for
the country's S&P Global composite and services PMI data for January. Meanwhile, Mexico's
statistics agency is expected to report that gross fixed investment dropped 0.1% in November
after posting a rise of 0.1% in October. 
    
LIVECHAT-REUTERS GLOBAL MARKETS FORUM
Equities Watch with Reuters market correspondents in London and New York. (0900/1400) To join
the conversation, click here

 (Reporting by Lactus Fernandes; Edited by Vijay Kishore)
 ((Lactus.Fernandes@thomsonreuters.com;))