Other banks will announce their results later this week. Comments from these banks on consumer behavior are a key indicator; if they state that companies are overcoming the crisis, still investing, and need to borrow, it will be a positive sign. Beyond the results announcement, investors will focus on the U.S. Producer Price Index report, an important inflation indicator. Key U.S. economic events this week (Eastern Time)Monday, April 13 10:00 PM Existing Home Sales / March 8:00 PM Fed Governor Stephen Miller's speech. Results: Goldman Sachs.Tuesday, April 14 6:00 AM NFIB Small Business Optimism Index / March 8:30 AM Producer Price Index / March 8:30 AM Core Producer Price Index / March 8:30 AM Year-over-Year Producer Price Index 8:30 AM Year-over-Year Core Producer Price Index 5:50 PM Fed Governor Michael Barr's speech 1:00 PM Rural Economy Roundtable featuring Boston Fed President Susan Collins, Richmond Fed President Tom Barkin, and Philadelphia Fed President Anna Polson. Results: BlackRock, City Group, Johnson & Johnson, JPMorgan Chase, Wells Fargo.Wednesday, April 15 8:30 AM Import Prices / March 8:30 AM Import Prices Excluding Fuel / March 8:30 AM Empire State Manufacturing Survey / April 8:30 AM Fed Governor Michael Barr's speech 10:00 AM Home Builders Confidence Index / April 1:45 PM Fed Vice Chair for Supervision Michelle Bowman's speech 2:00 PM Federal Reserve Beige Book. Results: Bank of America, Morgan Stanley.Thursday, April 16 8:30 AM Initial Jobless Claims 8:30 AM Philadelphia Fed Manufacturing Survey 8:35 AM New York Fed President John Williams's speech 9:15 AM Industrial Production / March 9:15 Capacity Utilization Rate 10:35 AM Fed Governor Stephen Miller's speech. Results: PepsiCo, Taiwan Semiconductor, Netflix.Friday, April 17 11:30 AM San Francisco Fed President Mary Daly's speech 2:00 PM Fed Governor Christopher Waller's speech. In addition to bank results, major companies like Netflix, Johnson & Johnson, and PepsiCo will also announce their results this week. Profits for companies in the index are expected to rise by 14% by Friday compared to the same period last year, according to analyst estimates compiled by the London Stock Exchange Group's IPEX. This will be the sixth consecutive quarter of double-digit growth, the longest such streak since 2011. Expectations vary widely across the index's 11 sectors; the technology sector, the largest in the index, is expected to drive profits up by more than 40%, while healthcare sector profits are expected to fall by 10%.Impact of Oil Prices Investors are watching reports primarily to see how companies have been affected by the fallout from rising oil prices, which increases costs across sectors and negatively impacts consumer spending. Even with oil prices falling after a ceasefire agreement, U.S. crude oil prices are still up about 70% this year. Overall annual profit expectations have become more optimistic, with S&P profits expected to rise by more than 19% in 2026, compared to an estimated 15% increase in late February. Financial Sector Investors believe bank reports will provide insight into the health of the economy, with some concerns about a slowdown in the labor market before the outbreak of conflict in the Middle East. Goldman Sachs will announce its financial results on Monday, while the largest U.S. bank, JPMorgan, will announce its results on Tuesday, along with Wells Fargo and City Group. These expectations have remained despite heightened conflict with Iran last month. Cloud of Optimism In an interview with Reuters, Nick Georgie, chief equity strategist at Alphen Macro, said the reason for the market's current strength is the continued rise in profit estimates and no negative impact of the war on market fundamentals yet, and warned that if markets start to see a significant decline in these fundamentals, they will be in a difficult position. Last week, markets were optimistic about easing geopolitical tensions after a two-week ceasefire agreement between the U.S. and Iran, which came after U.S. President Donald Trump's threats of war escalation. As of Friday, the S&P 500 had recovered nearly all its losses since the U.S. and Israel began military strikes on Iran at the end of February, with this key stock index down about 1% during that period. However, the war remained at the forefront of market attention, and markets are expected to remain sensitive to developments in the Middle East this week. Positive Estimates Expect about 10% of S&P 500 companies to announce their Q1 results by next Friday, with a large number of results expected in the following weeks. Awaiting Financial Sector and Consumer Goods Results • 14% Expected Rise for S&P 500 in Q1 • War Developments Steal U.S. Stock Market Attention Investors are awaiting results this week from major companies in the U.S. banking sector and in entertainment and consumer goods, searching for evidence that the corporate profit engine is running efficiently, and to see if there are threats to the optimistic outlook for these entities; stemming from the Middle East war and the resulting rise in energy costs. The Q1 earnings season kicks off with reports from major U.S. banks, and optimistic expectations for strong profit growth in Q1 and the following year have supported the positive outlook for stocks.
