What to Watch in the Day Ahead - Wednesday, January 31

Roper Technologies

30/01/2024 19:40

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Federal Open Market Committee (FOMC) wraps up its first policy-setting meeting of 2024 and is
scheduled to release its statement. (1400 /1900)

Market participants will be on the watch for the ADP National Employment report ahead of
Friday's U.S. non-farm payroll data. Private payrolls probably rose by 145,000 jobs in January,
compared to 164,000 gains in December. The Labor Department's Bureau of Labor Statistics is
likely to report that the Employment Cost Index (ECI), the broadest measure of labor costs, rose
1.0% in the fourth- quarter after increasing 1.1% in the previous quarter.

Boeing is expected to reveal financial targets for 2024 during its fourth-quarter results.

Qualcomm will report first-quarter results. Investors will focus on indicators of demand from
the smartphone industry and Qualcomm's commentary on AI.         
        
Mastercard is expected to report its fourth-quarter earnings. Strong spending is expected to
boost its profit, but investors will closely analyze its forecast.

Nasdaq is expected to post a rise in fourth-quarter profit, helped by a strong performance in
its solutions business. Meanwhile, MarketAxess is likely to report an increase in fourth-quarter
profit, supported by higher commissions.

Thermo Fisher Scientific is expected to report fourth-quarter earnings before markets open.
Focus will be on comments about demand trends for this from its biotech clients and any changes
to the medical equipment maker's 2024 profit forecast. Any comments on Novo Nordisk's popular
drug Wegovy will also be closely watched as Thermo does filling work for the drug. Separately,
Boston Scientific is expected to report its fourth-quarter results. Investor focus will be on
its heart devices and the impact of GLP-1 drugs on their sales.

Phillips 66 is expected to report a fall in fourth-quarter profit due to weaker fuel prices, as
fuel demand scaled back and hurt prices. Investors will also watch for comments on any impacts
from shipping disruptions in the Red Sea, updates on its Rodeo refinery in California, and any
further outlook for 2024.

The CEOs of TikTok, Discord, Snap, Meta and X, formerly known as Twitter, are expected to
testify before a Senate Judiciary Committee hearing on online child sexual exploitation.

U.S. carrier Old Dominion Freight Line is expected to report fourth-quarter revenue above
analysts' estimates, helped by higher freight demand in its less-than-truckload (LTL) segment. 

Otis Worldwide will report fourth quarter and fiscal 2023 results before markets open. The
elevator maker is expected to post higher profits driven by continued resilience in its service
segment. Meanwhile, Roper Technologies is expected to post growth in revenue in the fourth
quarter on stable demand for its products built for niche industries.

Agricultural chemical and seed company Corteva is expected to report lower fourth-quarter
revenue as it expected rapid destocking in South America. Investors would be looking forward to
any commentary on destocking in 2024 and any impact from droughts in Brazil. 

Chipmaker Wolfspeed's revenue is expected to decline a second time in a row in the December
quarter. Separately, Wireless connectivity chip maker Qorvo is expected to post higher
third-quarter revenue, driven by a recovery in the smartphone market.

Statistics Canada data is set to show that the country's Gross Domestic Product (GDP) ticked up
0.1% in November after remaining flat in the previous month.

In the Latin American economic calendar, Brazil's central bank is scheduled to announce its
interest rate policy decision. It is expected to cut its benchmark interest rate by 50 basis
points to 11.25%. The country's IBGE data is likely to show that the jobless rate rose 7.6% in
the quarter through December, after a 7.5% rise in the previous quarter. Separately, Chile's
central bank is expected to cut its benchmark interest rate by 100 basis points to settle at
7.25%. Meanwhile, the country's National Institute of Statistics will publish manufacturing
output data, which likely grew 2.2% in November after increasing by 4.5% in the month prior.

 (Compiled by Malini K; Editing by Tasim Zahid)
 ((Malini.K@thomsonreuters.com;))