Big banks will make a lot of headlines this week. But so will economic data, political events, and results from the leader in streaming video. Earnings from JPMorgan Chase, Wells Fargo, Citigroup, Morgan Stanley, and Goldman Sachs are among the highlights of a busy corporate earnings calendar that effectively kick off the second-quarter earnings season. Several banks reported better-than-expected earnings in the most recent reporting round, while also warning of uncertainty. Investors will also be watching for reports from Taiwan Semiconductor Manufacturing and Netflix.
The June Consumer Price Index (CPI) inflation report will offer the latest view of consumer prices as economists and investors monitor the impact of U.S. tariff policies and contemplate what could be next for interest rates. Tariffs could also play a role in June U.S. retail sales, due Thursday. The indicator declined for May as consumers pulled back from a tariff-fueled buying spree.
Stocks finished last week on a down note, though just off record highs. Bitcoin was also at records ahead of a “Crypto Week” in Washington, D.C.
Big Banks, Tech, and Pharmaceutical Results Set to Kick Off Earnings Season
Earnings for the 2025 second quarter begin to roll in this week, with several top financial institutions set to report financial results. Other noteworthy tech, transportation and pharmaceutical firms are also due to report.
Big Bank earnings come as several announced positive results in their annual Federal Reserve stress tests, designed to measure the health of key financial institutions. JPMorgan’s (JPM) report, scheduled for Tuesday, comes after it beat estimates for the first quarter in part by bringing in more net interest income than expected.
TSMC (TSM) is on schedule to release its quarterly earnings on Thursday, after the chipmaker’s recent revenue data showed sales jumped by 40% in the first half of the year on strong artificial intelligence demand. Netflix’s (NFLX) report, expected the same day, comes after the streaming giant grew its sales by 12% in the first quarter. Investors will also be watching for updates from pharmaceutical firms Johnson & Johnson (JNJ) and Novartis (NVS), as well as from aircraft engine maker GE Aerospace (GE) and beverage behemoth PepsiCo (PEP).
Investors Watching for June Data on Inflation, Retail Sales, Housing Starts
The release of the CPI report on Tuesday comes after the inflation measurement rose slightly in May to an annual rate of 2.4%, which was less of an increase than economists expected. With price pressures easing, there’s now more pressure on the Federal Reserve to lower interest rates at its end-of-the-month meeting, especially as officials have cited inflation worries as driving the Fed’s decision to keep interest rates where they are. Several Fed officials are scheduled to speak this week, including Gov. Michelle Bowman and New York Fed President John Williams. U.S. retail sales data for June will be closely followed by market watchers, given that consumer spending accounts for about two-thirds of economic activity. Sales declined for May as consumers who bought products ahead of tariff implementations pulled back on their spending. The homebuilder confidence survey coming Thursday, followed by Friday’s housing starts data for June, will provide more insight into the housing market, which has been plagued by low inventory levels.