Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Oct. Sales, Industrial Production, Retailers: 3 Things to Watch

Published 16/11/2020, 21:23
Updated 16/11/2020, 21:30

By Liz Moyer

Investing.com -- Once again positive news on the vaccine front clashed with foreboding news about the spreading pandemic, but stocks won the day, anyway.

The Dow Jones Industrial Average surged to record levels after Cambridge, Mass., drug company Moderna Inc (NASDAQ:MRNA) said its vaccine candidate was more than 94% effective. That’s even better than last week’s news from drug giant Pfizer Inc (NYSE:PFE) which said its candidate was 90% effective.

Now with two possible vaccines headed toward regulatory consideration for emergency use permission, the future looks a slight bit brighter.

The news comes as U.S. coronavirus cases continue to mount, hitting daily records and forcing local governments like El Paso, Texas, and Philadelphia to halt or reverse business reopening plans. California’s governor also put the brakes on most of that state again on Monday.

Putting a halt to the spreading virus is essential to keep businesses operating during the holiday season, which is a major driver of sales for many companies. 

We may get a glimmer of what is to come in retail sales and industrial production data set for release on Tuesday, alongside earnings from major retailers. 

Here are three things that might affect markets tomorrow:

1. Retail sales for October

Retail sales are expected to slow down in October from the prior month, with analysts tracked by Investing.com estimating a reading of 0.5%. That compares to 1.9% in September. The numbers are reported at 8:30 AM ET (1230 GMT).

Consumer spending is an important barometer of economic health, especially heading into holiday shopping season. Lower consumer spending could be an indication households are still struggling with pandemic-related factors like lost wages, as Congress continues to stall on new economic relief.

2. Data on production

A potentially more positive reading is due out at 9:15 AM ET (1315 GMT). Industrial production for October is expected to increase 1% compared to a contraction of 0.6% the prior month. Manufacturing production is seen coming in up 1%, from a contraction of 0.3% the prior month.

3. Home Depot , Kohls and Walmart

Three big retailers report earnings on Tuesday before the market opens.

Walmart Inc (NYSE:WMT) is seen with earnings per share of $1.18 on revenue of $131.8 billion. Home Depot Inc (NYSE:HD) is expected to report EPS of $2.99 on revenue of $31.3 billion. Kohls Corp (NYSE:KSS) is seen reporting a loss of 50 cents a share on revenue of $3.87 billion.

 

Latest comments

ok
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.