Activity should be light this week due to the holiday. Markets will be closed Thursday for Thanksgiving. Lower volume and holiday sentiment bode well for stocks as the major indices continue to flirt with new all-time highs. A recent survey indicated individual investor sentiment is at its highest level in almost two years. Over $44.5 billion has been invested in equity exchange-traded funds since the election.
European Central Bank (ECB) President Mario Draghi delivered prepared remarks before the European Parliament on Monday. U.S. existing home sales figures, which are forecast to be slightly lower than the previous report, will be released on Tuesday. Wednesday’s mortgage applications will be compared to week’s unexpected decline. Durable goods orders and new homes sales data will also be available on Wednesday. While durable goods orders are predicted to rise 1.5 percent, new home sales are forecast to decline slightly in the face of rising mortgage rates.
Weekly unemployment claims figures will be released a day early due to the Thanksgiving market closure. Unemployment claims are expected to rise slightly from last week. The final University of Michigan Consumer sentiment figures are expected to remain unchanged at 91.6 when they are also released Wednesday. Crude inventory figures are also scheduled for release midweek.
The latest Federal Open Market Committee (FOMC) meeting minutes will be released on Wednesday. Black Friday sales will also provide data points to gauge the American consumer climate.
As earnings season winds down, 470 of the S&P 500 have already reported. Overall, earnings have risen 3.8 percent year-over-year and revenues have increased 2.6 percent. Tyson Foods, Hewlett Packard Enterprise, Dollar Tree and John Deere and Company are scheduled to report earnings this week. Hewlett Packard Enterprises (HPE) will deliver quarterly earnings and report on the status of a merger with U.K.-based Micro Focus (MCFUF) and other restructuring efforts.
Discount retailer Dollar Tree (DLTR) is also scheduled to release its earnings on Tuesday. John Deere and Company (DE) will report on Wednesday. Investors will focus on the company’s sales figures and the number of maturing leases. Falling crop prices could negatively affect farmers’ abilities to purchase or lease new equipment.