Investing.com – U.S. stocks gained on Tuesday as the Federal Reserve kicked off its policy meeting, pushing bank and energy stocks higher.
Wednesday afternoon at 2 PM ET, the Fed will release its decision on interest rates, with the world widely expecting a half-point jump, but it will also release some analysis about the state of the economy. Fed Chair Jerome Powell will add more thoughts during a press conference that starts at 2:30 PM.
Investors are hoping Powell’s words and the Fed’s data will set the tone for the next couple of months as the Fed starts to taper its giant portfolio of bonds alongside the rate hikes in order to cool inflation. Powell has said for the last few months he expects to achieve a soft landing for the economy.
Later in the week, the jobs report for April should show how the employment market is holding up. There are 11.5 million openings in the U.S. but unemployment is at multi-decade lows. Companies still report having a tough time attracting workers, despite rising wages and in some cases flexible working conditions.
Oil investors are awaiting the meeting of the Organization of the Petroleum Exporting Countries and their allies later this week, which also coincides with earnings from oil majors including Shell (LON:RDSa) and ConocoPhillips (NYSE:COP) on Thursday.
Here are three things that could affect markets tomorrow:
1. CVS earnings
CVS Health Corp (NYSE:CVS) will report earnings before the opening bell Wednesday. The company topped earnings and revenue expectations in its previous release, and investors will be hoping they can provide another beat, with analysts polled by Investing.com expecting earnings per share of $2.16 on revenue of $75.54 billion.
2. Travel rebound
Travel booking firm Booking Holdings Inc (NASDAQ:BKNG) will also release earnings for its latest quarter Wednesday – this time after the close. Analysts expect the company to report earnings of $0.88 on revenue of $2.53 billion. With the travel recovery gradually taking place, investors will hope the company has benefitted.
3. Uber outlook
Uber Technologies Inc (NYSE:UBER) is also posting earnings on its latest quarter after the close. Analysts polled see Uber reporting a loss per share of $0.27 on revenue of $6.08 billion.