The week ahead: Fed rate decision on deck

Earnings season in full swing

By: IE Staff
January 28, 2007 January 28, 2007
15:15

It’s a busy week for U.S. economic releases, with the U.S. Federal Reserve expected to hold the line on interest rates when its Federal Open Market Committee meets Wednesday.

North of the border, the economic calendar is much less crowded.

On Monday, Statistics Canada issues its business conditions survey on manufacturing industries for January.

On Tuesday, StatsCan reports on industrial product and raw materials price indexes for December, 2006. Economists forecast an increase of 0.6% and 0.5%, respectively.

On Wednesday, the government agency releases gross domestic product data for November, 2006. An increase of 0.3% from the previous month is expected.

South of the border

On Tuesday, the U.S. Conference Board releases its consumer confidence index for January. A reading of 110 is expected, up from 109 the previous month.

On Wednesday, the U.S. Federal Reserve Board’s policy-setting committee is expected to keep its key lending rate at 5.25%.

On Thursday, the U.S. Commerce Department issues vehicle sales data for January. A total sales figure of 16.6 million is expected, down from 16.8 million the previous month.

Separately, Commerce releases personal income and spending figures for December, 2006. Economists forecast a 0.5-per-cent rise in income and a 0.7-per-cent increase in spending.

The U.S. Department of Labor reports on initial jobless claims for the week ended Jan. 26. Economists expect 315,000 new claims.

On Friday, Labor releases the unemployment rate for January. Economists expect the rate to remain unchanged at 4.5%.

The U.S. Commerce Department reports factory order figures for December. A 1.8-per-cent increase from the previous month is expected.

Corporate earnings

Fourth-quarter earnings season is in full swing. Among the companies and trusts scheduled to report are: