Look ahead 16/11/23: US trade; Australia jobless rate; Siemens; Burberry; Walmart
US trade and industrial production data give further clues as to whether or not a May US rate cut is increasingly on the Fed’s cards.
The Australian dollar is in focus ahead of the latest jobless rate print. Plus, Siemens reports after Siemens Energy said it will look into the structure of Siemens Gamesa. In retail, watch out for earnings from Burberry and Walmart.
(AI Video Summary)
Australia's rising unemployment rate
The unemployment rate in Australia is expected to go up next month, and this is affecting the Australian dollar and New Zealand dollar. Investors think that the US will be cutting interest rates next year, which is causing global bond yields to go down. This is also impacting the US dollar because the recent inflation numbers were lower than expected. As a result, people don't think there will be another interest rate hike in December, and instead, they are betting on a rate cut in May.
Overview of what's to come
In the US, there will be several important pieces of data released on Thursday, such as import and export prices, jobless claims, industrial production, and housing market data. The housing market has been unstable lately, so investors are watching this data closely to see if there are any signs of recovery.
Additionally, some companies like Burberry Group PLC and International Distribution Services will be reporting their earnings. Burberry's stock has been going down recently, which is similar to other luxury brands like LVMH Moet Hennessy Louis Vuitton SA, Hermès, and Gucci. Siemens Energy will be sharing their full-year results, and their stock went up when they announced they would review a troubled unit.
In the US, the retail sector is also in focus with companies like Walmart, Gap, and Macy's reporting their third quarter numbers. Walmart is expected to have a 4.4% increase in sales and is trying to attract customers with prepackaged Thanksgiving meals and lower-priced ingredients. They also plan to remodel their stores as part of a big renovation plan. Walmart's stock has already gone up a little bit because Target had positive expectations. All of these events and data releases will impact the markets and how investors feel.
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