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Revenue extravaganza – What to know in the coming week




It's about revenue this week for the markets, as a quarter of the S&P 500 companies report to report results. Some of the heavyweights scheduled to report this week include Procter & Gamble, UPS, McDonald's, Chipotle, Snap, Caterpillar, Boeing, Ford, Microsoft, PayPal, Tesla, Twitter, Amazon, Intel and American Airlines.

During Friday, ca. 18% of S & P's market capital reported revenue. Revenues hit 4.9%, with 78% of companies exceeding the estimate. This compares to 5.4% and 71% over the past three years, ”Credit Suisse strategist Jonathan Golub pointed out in a note Friday.

While the revenue season has been off to a good start with large banks delivering solid results, some strategists warn that it is too early to avert concerns about negative revenue growth. "As any experienced runner knows, an aggressive pace out of the gate can be difficult to maintain," Raymond James Chief Investment Officer Larry Adam wrote in a weekly note to clients Friday. "As we warned last week, earnings were expected to decrease by 4% year-over-year (YoY) in 3Q19, and although earnings typically beat estimates by ~ 4%, it's likely to come down to the thread & # 39; on whether or not we can skirt negative earnings growth. The next two weeks should provide further insight, as 284 companies representing ~ 66% of the market value of the S&P 500 are eligible to report. "

Adam explained that the technology sector will be a key group to watch this revenue season and reiterate companies' positive outlook for the sector. "There is growing concern that the decline in the global economic momentum and US-China trade war may begin to affect the sector's revenue [tech]," Adam noted. Earnings expectations were reduced by 1.46% in the previous three months, but there is substantially less than 3.87% downward revision for the broader market. the technology sector saw the second highest earnings of 6.8%, and we expect similar success this quarter. Surplus risk (such as antitrust debates) can provide an opportunity to add exposure, and we maintain our positive view of the sector, since it has historically been the best in an "insurance" interest rate cut environment. "

Meanwhile, the financial calendar for this week is fairly easy, and the Federal Reserve will enter the quiet period ahead of the scheduled political meeting at the end of this month.

New home sales and durable goods orders will be the focus of investors on Thursday.

A construction site for new homes is seen at Leyden Rock in Arvada, Colorado. REUTERS / Rick Wilking

Economists expect solid data for September's new home sale. a solid 700,000 [seasonally adjusted annual rate] in September, down from the 713,000 [seasonally adjusted annual rate] printout in August, "Bank of America Merrill Lynch said in a note Friday." We take a signal from a couple of indicators: (1) Startup of villas became little end in August, and (2) NAHB's current single-family sales index rose by two points in September. These both point to a solid September pressure for new home sales. "

Durable commodity orders in September are likely to have been adversely affected by the General Motors strike, according to Bank of America Merrill Lynch. "The preliminary durable goods order report in September should show a 1.3% drop in headline orders," the company wrote. "Much of this decline is likely due to GM-UAW auto strikes, which contributed to a 0.6% fall in manufacturing output in September." Orders for core capital goods are expected to remain unchanged in September.

<p class = "canvas atom canvas text Mb (1.0 cm) Mb (0) – sm Mt (0.8 cm) – sm" type = "text" content = "The & P; The 500 ( ^ GSPC ) and Dow ( ^ DJI ) are just 1% from all the highlights, while the Nasdaq ( ^ IXIC ) sits roughly 2% from record highs. "data-reactid =" 34 "> The S&P 500 (^ GSPC) and Dow (^ DJI) are just 1% from all highlights, while the Nasdaq (^ IXIC) sits about 2% from record highs.

<h2 class = "canvas atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = " Calendar revenue " data -reactid = "35"> Earnings Calendar

<p class = "canvas atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Monday: Halliburton ( HAL ) before the market was open; TD Ameritrade ( AMTD ), Del Taco ( TACO ) after market close" data-reactid = "36"> Monday: Halliburton (HAL) before the market is open; TD Ameritrade (AMTD), Del Taco (TACO) after market closure

<p class = "canvas-atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Tuesday: Centene ( CNC ), Biogen ( BIIB ), Kimberly-Clark ( KMB ), Hasbro ( HAR ), Harley-Davidson ( HOG ), Procter & Gamble ( PG ), PulteGroup ( PHM ), Sherwin-Williams ( SHW ), UPS ( UPS ), Lockheed Martin ( LMT ), McDonald & # 39; s ( MCD ) before the market was open; Chipotle ( CMG ), Whirlpool ( WHR ), Discover Financial ( DFS ), Snap ( SNAP ), United Technologies ([19459056)] UTX ), Texas Instruments ( TXN ) by market "data-reactid =" 41 "> Tuesday: Centene (CNC), Biogen (BIIB), Kimberly-Clark (KMB), Hasbro (HAS), Har ley-Davidson (HOG), Procter & Gamble (PG), PulteGroup (PHM), Sherwin-Williams (SHW), UPS (UPS), Lockheed Martin (LMT), McDonald's (MCD) before the market is open; Chipotle (CMG), Whirlpool (WHR), Discover Financial (DFS), Snap (SNAP), United Technologies (UTX), Texas Instruments (TXN) after the end of the market

<p class = "canvas-atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Wednesday: Anthem ( ANTM ), Eli Lilly ( LLY ) , Vertex Pharma ( VRTX ), Caterpillar ( CAT ), Thermo Fisher ( TMO ), Freeport-McMoran ( FCX ), Waste Management ( WM ), Boeing ( BA ) before the market was open; Ford ( F ), O & # 39; Reilly ( ORLY ), eBay ( EBAY ), Xilinx ( XLNX ), Microsoft ( MSFT ), PayPal ( PYPL ), Las Vegas Sands ( LVS ), Tesla ( TSLA ) after the market's close "data-reactid =" 42 "> Wednesday: Anthem (ANTM), El in Lilly (LLY), Vertex Pharma (VRTX), Caterpillar (CAT), Thermo Fisher (TMO), Freeport-McMoran (FCX), Waste Management (WM), Boeing (BA) before the market is open; Ford (F), O & # 39; Reilly (ORLY), eBay (EBAY), Xilinx (XLNX), Microsoft (MSFT), PayPal (PYPL), Las Vegas Sands (LVS), Tesla (TSLA) after the end of the market

<p class = "canvas-atom canvas text Mb (1.0 em) Mb (0) – sm Mt (0.8 em) – sm" type = "text" content = "Thursday: Southwest Airlines ( LUV ), Comcast ( CMCSA ), Valero ( VLO ), Dow Inc. ( DOW ), T-Mobile ( TMUS ), Northrop Grumman ( NOC ), Hersey ( HSY ), Raytheon ( RTN ), 3M ( MMM ), Twitter ( TWTR ), American Airlines ( AAL ) before the market was open; Capital One Financial ( COF ), Visa ( V ), Gilead ( GILD ), Amazon ( AMZN ), Intel ( INTC ) by market's close "data-reactid =" 43 "> Thursday: Southwest Airlin com (LUV), Comcast (CMCSA), Valero (VLO), Dow Inc (DOW), T-Mobile (T MUS), Northrop Grumman (NOC), Hersey (HSY), Raytheon (RTN), 3M (MMM), Twitter (TWTR), American Airlines (AAL) before the market is open; Capital One Financial (COF), Visa (V), Gilead (GILD), Amazon (AMZN), Intel (INTC) by market proximity

<p class = "canvas-atom canvas text Mb (1.0em) Mb ( 0) – sm Mt (0.8em) – sm "type =" text "content =" Friday: VF Corp ( VFC ), Verizon ( VZ ) before the market was open " data-reactid = "44"> Friday: VF Corp (VFC), Verizon (VZ) before market open

<h2 class = "canvas-atom canvas text Mb (1.0em) Mb (0) – sm Mt (0 , 8em) – sm "type =" text "content =" Economic Calendar "data-reactid =" 45 "> Economic Calendar

Monday: N / A [19659017] Tuesday: Richmond Fed Manufacturing Index, October (-9 before); Existing home sales, September (5.45 million expected, 5.49 million in August)

Wednesday: MBA mortgage loan applications, week ended October 18 (0.5% before); FHFA House Price Index Month-to-August, August (0.4% before)

Thursday: Durable goods orders, preliminary September (-0.8% expected, 0.2% before); Duration excluding transport, preliminary September (-0.3% expected, 0.5% before); Original claims without work, the week ended October 19 (214,000 before); Continuing claims, October 12 ($ 1,679 million); Bloomberg Consumer Comfort, the week ended October 20 (63.5 before); Markit US Manufacturing PMI, October preliminary (51.1 before); Markit US Composite PMI, preliminary October (51.0 before); New home sales, September (699,000 expected, 713,000 in August)

Friday: University of Michigan Sentiment, October Final (96.0 before)

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<p class =" canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Heidi Chung is a reporter at Yahoo Finance. Follow her on Twitter: @heidi_chung . "data-reactid =" 66 "> Heidi Chung is a reporter at Yahoo Finance. Follow her on Twitter: @heidi_chung .

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = " More from Heidi: "data-reactid =" 67 "> More from Heidi:

<p class =" canvas-atom canvas text Mb (1.0 em) Mb (0) – cm Mt (0.8 em) – sm "type =" text "content =" Read the Latest Stocks and Stock Markets from Yahoo Finance "data-reactid =" 72 "> Read the Latest Stocks and Stock Markets from Yahoo Finance

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