Earnings Season Update and Economic Highlights

The wave of earnings reports continues this week as more than 60 S&P 500 companies are scheduled to report their quarterly results. Among them are several $100 billion-plus market-cap companies, including Coca-Cola on Tuesday, Cisco Systems on Wednesday, and Applied Materials and Deere on Thursday.

Earnings Season Progress

We are now more than halfway through earnings season, with approximately 60% of S&P 500 index companies having already announced their fourth-quarter results.

Economic Highlight: Consumer Price Index

On Tuesday, the Bureau of Labor Statistics will release January's consumer price index (CPI). Economists expect the CPI to show a 2.9% year-over-year rise, which is half a percentage point lower than in December.

Company Earnings Announcements - Tuesday 2/13

On Tuesday, the following companies will be reporting their earnings:

• Airbnb
• American International Group
• Biogen
• Coca-Cola
• DaVita
• Ecolab
• EQT
• Hasbro
• Howmet Aerospace
• Marriott International
• MGM Resorts International
• Molson Coors Beverage
• Moody's
• Shopify
• Waste Connections
• Welltower
• Zoetis

Economic Indicators

In addition to the consumer price index, there are a couple of other key economic indicators being released this week:

Core CPI Outlook

The core CPI, which excludes volatile food and energy prices, is expected to rise by 3.7%, compared to the previous rate of 3.9%. This represents the lowest level of annualized change since May 2021.

Small Business Optimism Index

The National Federation of Independent Business will release its Small Business Optimism Index for January. In December, this index was recorded at 91.9, marking the 24th consecutive month below the 50-year average of 98.

Wednesday 2/14

Albemarle, CF Industries, Cisco Systems, CME Group, Energy Transfer, Equinix, Generac Holdings, Global Payments, Kraft Heinz, Martin Marietta Materials, Occidental Petroleum, Sony Group, Tyler Technologies, and Williams Cos. announce quarterly results.

Thursday 2/15

Applied Materials, CBRE Group, Consolidated Edison, Coinbase Global, Deere, Digital Realty Trust, DoorDash, DraftKings, EPAM Systems, Genuine Parts, Ingersoll Rand, Southern Co., and Stellantis release earnings.

Retail Sales Data for January

The Census Bureau reports retail sales data for January. Economists forecast a 0.2% month-over-month decline in consumer spending, following a 0.6% increase in December. Excluding autos, retail sales are seen edging up 0.1%, three-tenths of a percentage point less than in December.

Housing Market Index for February

The National Association of Home Builders releases its Housing Market Index for February. The consensus call is for a 46 reading, two points more than in January.

Friday 2/16

NatWest Group, PPL, and Vulcan Materials hold conference calls to discuss quarterly results.

Consumer Sentiment Survey for February

The University of Michigan releases its Consumer Sentiment Survey for February. Expectations are for a 79 reading, even with the December figure. Consumers’ expectations for the year ahead inflation was 2.9% in December, the lowest level in three years.

Producer Price Index for January

The BLS releases the producer price index for January. The PPI and core PPI are both expected to increase 0.1% month over month. The PPI declined 0.1% in December, while the core PPI was flat. In December, the year-over-year change in the core PPI was 1.8%, the lowest reading since late 2020.