Proactive Investors - The coming ahead brings the start of the much-anticipated UK banking results season, with Barclays (LON:BARC), NatWest (LON:NWG) and Standard Chartered (LON:STAN), which continues the focus on jumbo shareholder returns, a theme that is also likely to be extended in the updates from Glencore (LON:GLEN) and Centrica (LON:CNA).
Economic data in the week includes keenly watched US and UK inflation figures, on Tuesday and Wednesday respectively.
Inflation is a prime preoccupation for central bankers at the US Federal Reserve and Bank of England, along with companies and consumers.
US consumer price inflation peaked at 9% last June and in December had receded to 6.4%, still much higher than the Fed’s 2% target, which is 2%.
In December, the UK CPI eased to 10.5% from 10.7% in November and October's 11.1%, though again the BoE is targeting 2%.
UK jobs numbers are due on Tuesday, minutes from the last Fed meeting are published on Wednesday, retail sales for the US and UK on Wednesday and Friday respectively, and US housing data on Thursday.
MONDAY 13 FEBRUARY
The UK calendar starts the week with barely a whisper, though followers of Wall Street stocks will still have plenty to look out for, including Peter Thiel’s Palantir Technologies Inc (NYSE:PLTR).
Last quarterly numbers led to the stock tumbling as it admitted that countries in Europe were less willing to use its controversial data processing software, with revenue up but earnings only just avoiding sinking into the red.
Palantir, which was one of the few tech companies still hiring and not firing late last year, guided to US$503-505mln revenue for the fourth quarter.
Significant announcements expected on Monday
AGMs: Cellular Goods PLC (LON:CBX)
US earnings Monday: Arista Networks, Checkpoint Software, Lattice Semiconductor (NASDAQ:LSCC), Palantir Technologies
TUESDAY 14 FEBRUARY
TUI (LON:TUIT) will provide a first-quarter update that follows up from an upbeat final results statement in December.
With all segments of the business having returned to profits for the first time since the pandemic, analysts said investors will be keeping a close watch on that trend continuing, as well as any confirmation of the size of its debt and the pandemic state aid it needs to pay back.
Coke will be the focus on both sides of the Atlantic, with bottler Coca-Cola (NYSE:KO) HBC AG reporting in London and Coca-Cola Co around lunchtime, before the opening bell in New York.
The US beverage giant has been performing well of late – “and we expect more of the same when it announces both its fourth quarter and full year results next week”, said analyst Aarin Chiekrie at Hargreaves Lansdown (LON:HRGV).
Last quarter, the group raised its full-year guidance, now expecting organic revenue growth of 14-15%, instead of 12-13%.
Significant announcements expected on Tuesday
Trading updates: TUI AG PLC
Finals: Carrs Group PLC, Coca-Cola HBC AG, Plus500 (LON:PLUSP) Ltd (LSE:PLUS)
AGMs: Dewhurst (AIM:DWHT) Group PLC, TUI AG PLC
Economic announcements: Claimant Count Rate (UK), Unemployment Rate (UK), Consumer Price Index (US)
US earnings Tuesday: Coca-Cola, Airbnb (NASDAQ:ABNB), Upstart (NASDAQ:UPST) Holdings
WEDNESDAY 15 FEBRUARY
Midweek brings the first in our FTSE 100 banking season, with Barclays PLC (LSE:BARC).
Overall, the focus for the banking sector will be on shareholder returns and possibly windfall taxes, but for the blue-eagle bank analysts said it was the most difficult to predict in the coming week due to its investment bank.
Elsewhere, Glencore PLC (LSE:GLEN) adds interest for income hunters, with the Swiss-headquartered commodities colossus offering “superior cash returns” compared to its peers, according to UBS, but worries about the outlook for its exposure to coal.
For an update on the squeezed UK consumer, we will hear from retailer Dunelm Group PLC (LSE:LON:DNLM) in its half-year results.
It has shown hardiness amid the cost-of-living headwinds and analysts reckon investors will want updates on second-half guidance, the cost situation and how much it is able to pass on via price rises.
Significant announcements expected on Wednesday
Trading updates: DCC PLC (LON:DCC)
Interims: Dunelm Group PLC, Hargreaves Lansdown PLC, Pan African Resources
Finals: Barclays PLC, Glencore PLC
AGMs: Blencowe Resources (LON:BRESB) PLC, GCP Infrastructure Investments Ltd
Economic announcements: Consumer Price Index (UK), Producer Price Index (UK), Retail Price Index (UK), MBA Mortgage Applications (US), Retail Sales (US), Retail Sales Less Autos (US), Business Inventories (US), Crude Oil Inventories (US), FOMC Interest Rate Minutes (US)
US earnings Wednesday: Analog Devices (NASDAQ:ADI), Barrick Gold, The Kraft Heinz Co (NASDAQ:KHC), Shopify, The Trade Desk, Cisco Systems (NASDAQ:CSCO), QuantumScape, Roku Inc (NASDAQ:ROKU), Twilio, Roblox, Marathon Oil, CF Industries
THURSDAY 16 FEBRUARY
The banking focus switches to Asia on Thursday, with Standard Chartered PLC (LSE:STAN) shares at their highest since 2018 – even though a reported bid approach was denied by the purported suitor.
For the results, the market will want confirmation that the punchy forecasts are still intact and maybe also some details on China’s recent opening up.
Also that day we are due annual results from Centrica PLC (LSE:CNA), which continues the theme of bumper cash levels increasing investor hopes of rich returns.
Significant announcements expected on Thursday
Trading updates: Supermarket Income REIT PLC
Interims: MJ Gleeson (LSE:GLE) PLC, Standard Chartered PLC
Finals: Centrica PLC, Harbourvest Global Private Equity, Moneysupermarket.com (LON:MONY) PLC, RELX PLC (LSE:REL)
AGMs: Benchmarks Holdings PLC, Supermarket Income REIT PLC, Tertiary Minerals PLC (AIM:TYM)
Economic announcements: Building Permits (US), Continuing Claims (US), Housing Starts (US), Initial Jobless Claims (US), Philadelphia Fed Index (US), Producer Price Index (US), Capacity Utilisation (US), Industrial Production (US)
US earnings Thursday: Applied Materials (NASDAQ:AMAT), Agnico Eagle, DoorDash, Hasbro (NASDAQ:HAS), Yamana Gold (TSX:YRI, LSE:AUY)
FRIDAY 17 FEBRUARY
NatWest Group PLC takes up its familiar Friday spot with investors eyeing news on some chunky returns.
Along with Lloyds (LON:LLOY), the former RBS is forecast to pay out cash worth more than 40% of their market caps in the coming few years, helped to a large degree by the build-up of reserves in the pandemic and the recent step-up in the sector's profitability from higher interest rates.
NatWest has also been in the news after boss Alison Rose said she was no longer too busy to attend a parliamentary grilling to explain why UK banks are passing so little of the recent rises in interest rates on to savers.
Significant announcements expected on Friday
Finals: Allianz (ETR:ALVG) Technology Trust PLC (LSE:ATT), NatWest Group PLC, Segro PLC
AGMs: Sunrise Resources PLC (AIM:SRES)
Economic announcements: Retail Sales (UK), Import and Export Price Indices (US)
US earnings Friday: Deere, Liberty Broadband