Week ahead: ECB, Fed policy announcements due; Shell, HSBC Q3 results eyed.


Next week promises to be a busy one, with policy announcements due from the US Federal Reserve and the European Central Bank, while on the corporate front, quarterly results are out from HSBC, Next, Shell and a plethora of US tech companies.

US Federal Reserve

Source: Sharecast

As far as the Fed is concerned, Michael Hewson at MCH Market Insights said that even with the absence of critical labour market and prices data there appears to be a consensus for another 25 basis points rate cut.

"There is plenty of evidence that the jobs market is undergoing a modest slowdown, although there is some concern over the impact that continued threats to increase tariffs are having when it comes to companies looking to maintain their competitiveness by raising prices," he said.

"While the government shutdown is impacting the release schedules, as well as the data collection capability of the BLS, there are plenty of other avenues we can use to gauge the strength or otherwise of the US economy. Growth for Q3 is already estimated to be trending at just below 4% annualised, while the recent US CPI report showed that price pressures continued to be sticky, with core CPI at 3.1%, while headline CPI rose to 2.9% in September from 2.7% in August.

"This alone is likely to keep Fed officials cautious especially since they have access to the latest ADP, as well as ISM reports."

The Fed will announce its latest policy decision on Wednesday 29 October.

The ECB, meanwhile, is expected to leave rates on hold when it makes its announcement on Thursday.

Rabobank said: "There’s no reason to expect a policy change at next week’s ECB meeting, nor do we expect President Lagarde to give any new guidance ahead of a more extensive policy discussion in December, when more new data is available.

"But additional easing requires a materialisation of significant downside risk, and we maintain that the ECB’s cutting cycle is effectively done."

On the corporate front, Shell will be among the highlights when it releases third-quarter numbers on Thursday.

Matt Britzman, senior equity analyst at Hargreaves Lansdown, said: "Shell heads into its third quarter results after a tough first half, with second quarter underlying net profit down 32%, to $4.3 billion, due to lower commodity prices, weak trading, and chemical plant disruptions.

"However, third-quarter guidance suggests a rebound, particularly in its Integrated Gas division, where trading and optimisation results are expected to be ‘significantly higher’ than second quarter.

"LNG liquefaction volumes are also projected to rise 5-10%, to 7.0-7.4 million tonnes. In the downstream segment, refining margins are forecast to jump to $11.6 per barrel, supported by high refinery utilisation of 94-98%."

Britzman said market consensus points to third-quarter revenue of around $73.5bn. Share buybacks remain in focus, he said, with Shell maintaining $3.5bn in the second quarter despite earnings pressure.

"However, with Brent crude falling and a persistent global surplus averaging around 1.9 million barrels per day, the sustainability of Shell’s capital returns may come into question if oil prices remain weak."

Third-quarter results from HSBC are due on Tuesday, while Next is scheduled to update on Wednesday.

Across the pond, Microsoft, Apple, Meta, Amazon and Alphabet are all slated to report quarterly earnings.

Monday October 27

INTERIM DIVIDEND PAYMENT DATE

Bridgepoint Group (Reg S)

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Durable Goods Orders (US) (19:00)

IFO Business Climate (GER) (14:30)

IFO Current Assessment (GER) (14:30)

IFO Expectations (GER) (14:30)

M3 Money Supply (EU) (15:30)

Q3

Greatland Resouces Limited (DI)

GMS

Distil

FINALS

First Tin, Rosslyn Data Technologies

ANNUAL REPORT

Kromek Group

AGMS

City of London Investment Group, Kromek Group, Litigation Capital Management Limited (DI), Oil & Gas Development Company Ltd GDR (Reg S)

TRADING ANNOUNCEMENTS

Rosslyn Data Technologies

Tuesday October 28

INTERIMS

Airtel Africa

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Consumer Confidence (US) (20:30)

GFK Consumer Confidence (GER) (13:30)

House Price Index (US) (19:30)

Q3

HSBC Holdings

GMS

Ten Lifestyle Group

FINALS

Ultimate Products

EGMS

Datang International Power Generation Co Ltd.

AGMS

Aberforth Geared Value & Income Trust, Aberforth Geared Value & Income Trust, Achilles Investment Company Limited Npv, Brooks Macdonald Group, Galileo Resources, Seen, Seen

TRADING ANNOUNCEMENTS

Auction Technology Group , Evoke (DI)

UK ECONOMIC ANNOUNCEMENTS

BRC Shop Price Index (06:31)

FINAL DIVIDEND PAYMENT DATE

European Opportunities Trust

Wednesday October 29

INTERIM DIVIDEND PAYMENT DATE

Panther Securities

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Crude Oil Inventories (US) (21:00)

MBA Mortgage Applications (US) (17:30)

Pending Homes Sales (US) (20:30)

Q3

Aston Martin Lagonda Global Holdings, Banco Santander S.A., GSK, Smurfit Westrock (DI)

SPECIAL DIVIDEND PAYMENT DATE

Panther Securities

AGMS

Hargreaves Services, Springfield Properties

TRADING ANNOUNCEMENTS

Next, Wetherspoon (J.D.)

UK ECONOMIC ANNOUNCEMENTS

Consumer Credit (16:00)

M4 Money Supply (16:00)

Mortgage Approvals (16:00)

Thursday October 30

INTERIM DIVIDEND PAYMENT DATE

Avation, Bank of Ireland Group (CDI), Centrica, Phoenix Group Holdings

INTERIM EX-DIVIDEND DATE

Aeorema Communications, Balfour Beatty, Banco Santander S.A., Bloomsbury Publishing, Burford Capital NPV (DI), Hilton Food Group, JD Sports Fashion, LLoyds Banking Group 9.25% Non-Cum Irredeemable Pref Shares, LLoyds Banking Group 9.75% Non-Cum Irredeemable Pref Shares, Whitbread

QUARTERLY PAYMENT DATE

Abrdn DIversified Income And Growth

QUARTERLY EX-DIVIDEND DATE

Brunner Inv Trust, JPMorgan Claverhouse Inv Trust

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Business Climate Indicator (EU) (16:30)

Consumer Confidence (EU) (16:30)

Continuing Claims (US) (19:00)

Industrial Confidence (EU) (16:30)

Initial Jobless Claims (US) (19:00)

Services Sentiment (EU) (16:30)

Unemployment Rate (EU) (16:30)

Unemployment Rate (GER) (15:25)

Q3

Gran Tierra Energy Inc. (CDI), Shell , Standard Chartered

GMS

Anglesey Mining, Premier African Minerals Ltd (DI), Union Jack Oil

SPECIAL DIVIDEND PAYMENT DATE

Life Settlement Assets

AGMS

Filtronic, Scancell Holdings

TRADING ANNOUNCEMENTS

Gem Diamonds Ltd. (DI), Haleon , PPHE Hotel Group Ltd, Wellnex Life Limited Npv (DI)

FINAL EX-DIVIDEND DATE

Abrdn UK Smaller Companies Growth Trust, Dunelm Group, Fiske, Gattaca, Kier Group, Mcbride, NWF Group, PZ Cussons, Renishaw, Sylvania Platinum Ltd (DI), Thorpe (F.W.), Wilmington

Friday October 31

INTERIM DIVIDEND PAYMENT DATE

Andrews Sykes Group, ASA International Group , Ashoka India Equity Investment Trust, Fintel, Hunting, Ingenta, Mortgage Advice Bureau (Holdings) , Personal Group Holdings, Petershill Partners , Unite Group, Wynnstay Group

INTERIM EX-DIVIDEND DATE

Datang International Power Generation Co Ltd.

QUARTERLY PAYMENT DATE

CT Private Equity Trust, Value and Indexed Property Income Trust

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Chicago PMI (US) (20:15)

Import Price Index (GER) (13:30)

Personal Consumption Expenditures (US) (19:00)

Personal Income (US) (19:00)

Personal Spending (US) (19:00)

Retail Sales (GER) (13:30)

SPECIAL DIVIDEND PAYMENT DATE

BioPharma Credit , FIH Group , Gore Street Energy Storage Fund

EGMS

ZCCM Investments Holdings 'B' Shares

AGMS

Crimson Tide, Indus Gas Ltd., Technologies New Energy

UK ECONOMIC ANNOUNCEMENTS

Nationwide House Price Index (13:30)

FINAL DIVIDEND PAYMENT DATE

Arcontech Group, Chemring 7% Cumulative Preference Shares 1, FIH Group , Latham (James) 8% Cumulative Preference 1, Mercia Asset Management

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