This week, investors and traders will have a lot to focus on for a bevvy of major U.S. companies including Apple, Microsoft, Facebook, and Tesla all reporting their earnings, the Federal Reserve will have their Meeting, market participants will have their first look at how the U.S. economy fared in the last quarter of pandemic ravaged 2020 and lots more.
The World Economic Forum: The First Virtual economic forum is set to hold this week. With the global economy deep in crisis due to the pandemic, there are a plethora of issues to be discussed at the forum. Issues from soaring unemployment and debt levels to growing income inequality and climate change will be discussed. We expect the President of China, the German Chancellor, and a slew of World leaders to be present at the forum.
Fed Meeting: The Fed policymakers will hold their meeting for the first time, after the Democrats took control of the senate last week, this week. Market analysts expect no policy changes, and the reiteration of the facts that the U.S economy is far from achieving its goals of full employment and 2% inflation to be the subject of the meeting.
Tech Stocks are making a comeback: Due to the impressive earnings report released last week by Netflix weighed against the lacklustre outlooks from big banks, markets sentiments have shifted in favour of tech stocks. Analysts expect a push in the combined market cap of the FAANG (Facebook, Amazon, Apple, Netflix and Google) stocks above their $6.16 trillion cap after they release their results this week.
U.S GDP Data: Data on the U.S Gross Domestic Product (GDP) will be released on Thursday. Economists are forecasting a 4.0% growth in the economy in the 4th Quarter and they forecast a 3.5% contraction of the economy for the full year (Q1-Q4).
As we await the unfolding of these events, we only hope that you trade the market movements in your favour.
