Ahead of the upcoming week, several key business events and economic indicators are set to take place, providing insights into the retail sector, Federal Reserve’s policies, and the housing market.
Retail Insight: Walmart Earnings Report
On February 20, Walmart, the nation’s largest retailer, is scheduled to release its latest quarterly financial results. Analysts anticipate a profit of $1.64 per share, a slight decrease from the previous year, while the revenue is expected to rise to $170.8 billion. With approximately 4,700 U.S. locations, including 600 Sam’s Club sites, Walmart’s performance and outlook will offer valuable indicators of the overall retail health and consumer spending.
Reading the Fed: Federal Reserve Minutes
On Wednesday, the Federal Reserve will unveil the minutes from its recent interest rate meeting. The central bank had maintained its main interest rate at the highest level in over two decades during the last meeting. However, speculations on Wall Street suggest that the Fed might cease raising rates and could potentially initiate a cut in its benchmark rate by mid-year. The release of the January meeting’s minutes is expected to provide economists with further insights into the Fed’s future policy decisions.
Benchmark Interest Rate Percentage Levels:
- Nov. 3, 2022: 3.75-4.00
- Dec. 15, 2022: 4.25-4.50
- Feb. 2, 2023: 4.50-4.75
- March 23, 2023: 4.75-5.00
- May 4, 2023: 5.00-5.25
- June 27, 2023: 5.25-5.50
Housing Market Update: U.S. Home Sales Report
Additionally, on Thursday, the National Association of Realtors is set to release its January report on U.S. home sales. Analysts predict a potential increase in the pace of sales of previously occupied U.S. homes, reaching an annual rate of 4.02 million homes, up from 3.78 million homes in December. The rise is attributed to the alleviation provided by lower mortgage rates for homebuyers. However, the housing market continues to face tight conditions as demand surpasses supply.
Existing Home Sales, in Millions, Seasonally Adjusted Annual Rate:
- Aug.: 4.04
- Sept.: 3.95
- Oct.: 3.79
- Nov.: 3.82
- Dec.: 3.78
- Jan. (est.): 4.02
These upcoming events are anticipated to provide valuable insights into the current state and future trends of the retail sector, Federal Reserve’s monetary policies, and the housing market, offering crucial information for businesses and investors alike.
