Week Ahead: Stocks Recover, Treasury Yields Fall, Key Speakers Awaited
November 5, 2023
Market Dynamics and Economic Forecast
A spike in stocks coupled with a dip in Treasury yields sets the tone for investors entering the new week. The economic forecast seems relatively quiet, but anticipation builds around the release of the Federal Reserve Senior Loan Officer Opinion Survey. This significant dissemination will offer insights into bank lending circumstances vital to understanding credit and growth-related risks.
Global Financial Dialogue
The forthcoming week looks promising as high-profile financial figures are set to share their insights. Expected speakers include Jerome Powell from the Federal Reserve, Christine Lagarde from the European Central Bank, Kazuo Ueda of the Bank of Japan, and Andrew Bailey from the Bank of England. They will voice their insights at the annual research conference of the International Monetary Fund (IMF).
Bond Market Trends and Investment Advice
As investors focus on recent shifts in the bond market, Seeking Alpha analyst Jim Sloan recommends buying bonds before rates fall beneath their long-term average.
Earnings Reports and Noteworthy Events
Though more than 400 out of 500 companies listed on the S&P 500 Index have already reported their earnings, slowing down this calendar’s pace, upcoming reports from Disney, Gilead Sciences, and Uber Technologies garner attention. In addition to these releases, investors should watch for AI events organized by OpenAI and Moderna, as well as Investor Days at Extreme Networks and Stryker Corporation.
The spotlight will likely be on dividend payouts this week, with several companies like A10 Networks, Motorola Solutions, Roper, and Lancaster Colony expected to boost their quarterly dividends. Alongside these projections is the recent trading commencement of a new ETF, the Roundhill S&P Dividend Monarchs ETF, offering investors potential benefits from prominent dividend dispensers.
Common features among the companies listed on the S&P Dividend Monarchs Index are their consistent dividend policies, with many boasting over 65 years of continuous increases. The highest-ranking holdings in this fund encompass prominent names like 3M, Leggett & Platt, Black Hills, and Kimberly-Clark.