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The market is undergoing something of a shift as bond yields rise and the dollar's strength abates in response to the unexpectedly strong data out of Germany that suggests a small pickup in the economy and a renewed expectation for modest inflation. This is in contrast to a few months ago, when deflation was the expected condition for months to come. The dollar's slump should peter out at some point, given the advantage of U.S. yields, but yields may need to back up further, particularly if U.S. economic figures are strong enough to warrant a more hawkish outlook for the Fed. Equities have swung against bonds a bit of late, and with stocks not far from all-time highs it's hard to anticipate more gains, at least in the near term; stocks will still have plenty of earnings to contend with, including Comcast, Walt Disney and others.
Dow company Walt Disney Co is expected to report higher first-quarter revenue on Tuesday after strong results at its theme parks and TV networks. Analysts on average are expecting revenue of $12.2 billion and earnings of $1.10 per share, according to Thomson Reuters I/B/E/S.
Alibaba Group Holdings Ltd will report its results for the fourth quarter and the fiscal year before the markets open on Thursday and the company will hold a conference call to discuss its results at 0730 ET (1130 GMT). These will be Alibaba's first annual results since the world's largest e-commerce company held the world's biggest ever initial public offering, raising $25 billion.
Metlife Inc, the largest U.S. life insurer, is expected to report on Wednesday a first-quarter profit below analysts' expectations, hurt by losses from investments and derivatives. With investments mainly in bonds, Metlife's returns have been hurt by lower yields due to historically low interest rates. Metlife has been scaling back on capital-intensive businesses such as annuities to focus more on traditional life insurance and pension products. Life insurer Prudential Financial Inc is expected to report a lower-than-expected first-quarter profit on Thursday, according to Thomson Reuters StarMine. The company, which earns more than half of its revenue from operations outside the United States, mainly Japan, is likely to be hurt by a strong dollar.
The U.S. Commerce Department releases data on international trade for March on Tuesday, which is expected to show the U.S. trade gap widened. Analysts expect U.S. international trade deficit to have widened to $39 billion in March from $33.6 billion in February. The same day, the Institute for Supply Management is expected to report its manufacturing index held steady at 56.5 in April. On Wednesday, private payrolls processor ADP is expected to report U.S. private employers added 198,000 jobs in April. Private payrolls increased 189,000 in March. The ADP figures come ahead of the U.S. Labor Department's more comprehensive non-farm payrolls report on Friday, which includes both public and private-sector employment. Nonfarm payrolls are expected to rise 213,000 in April after posting an increase of 126,000 in March.
Federal Reserve Chair Janet Yellen and International Monetary Fund Managing Director Christine Lagarde participate in the "Finance and Society" conversation in the Institute for New Economic Thinking Conference on Finance and Society on Wednesday, hosted by the IMF in Washington. Federal Reserve Bank of Kansas City President Esther George participates in the "Credit Markets: Booms, Busts and Distortions" panel in the same event. On the day, Federal Reserve Bank of Minneapolis President Narayana Kocherlakota speaks before a public town hall forum hosted by Southwest State University in Marshall, Minneapolis. Also, Federal Reserve Bank of Atlanta President Dennis Lockhart speaks on the economic outlook and monetary policy before a luncheon hosted by the Baton Rouge Rotary in Baton Rouge, Louisiana.
Sprint Corp will report its first-quarter results on Tuesday as it continues to step up new promotions and pricing plans to attract subscribers in the middle of its turnaround plan. Analysts say the company's cash flow has been squeezed with heavy investments in network upgrades. Investors will keep an eye out for the No.3 U.S. wireless carrier's capital spending plan as well as signs that the company may need to consider raising additional funds.
Discovery Communications Inc, the owner of Animal Planet and the Discovery Channel, is expected to report a first-quarter profit above analysts' expectations on Tuesday, according to Thomson Reuters StarMine. The company, which forecast strong growth in its networks outside the United States, said better pricing would boost its U.S. advertising revenue in 2015.
Satellite TV company DirecTV is expected to post on Tuesday first-quarter revenue above average analyst estimate, according to Thomson Reuters StarMine data. DirecTV, which is being bought by telecom company AT&T, is expected to benefit from higher subscription fees, even as it loses customers to rivals such as Time Warner Cable, which attracts subscribers by offering bundled Internet and phone connections. Investors will be looking for DirecTV's outlook for the remainder of 2015.
Twenty-First Century Fox reports third-quarter earnings on Wednesday as TV viewership habits continue to shift. Analysts will most likely ask about the company's slimmed down cable offerings, including Verizon's new skinny package that Fox said violated its carriage contracts. They will also ask about any forthcoming video streaming products in the pipeline.
CBS Corp, owner of the most-watched U.S. TV network, is scheduled to report first-quarter results on Thursday.
Time Inc, the publisher of Sports Illustrated, Time and People magazines, had warned that sales would decline further this year as it grapples with falling circulation and advertising revenue. Most publishers, including Time, have been cutting costs, slashing their workforce and beefing up digital services. This could help the company report a first-quarter profit above analysts' estimates on Thursday, according to Thomson Reuters StarMine data.
News Corp reports first-quarter results after the markets close on Tuesday, providing some hints on whether declines in global print advertising have eased. Executives are expected to provide updates on the company's efforts to expand into online real estate services.
Electric car maker Tesla Motors Inc will release its first-quarter results on Wednesday. In addition to wanting an update on whether the construction of the company's battery plant in Las Vegas remains on track, investors will be listening for details from CEO Elon Musk on demand for the Model S in the United States and other markets, especially China, where sales have been disappointing; an update on the rollout of the Model X SUV; and further plans for its home battery business.
Generic drug maker Mylan NV, whose offer for Perrigo was rejected again, is expected to report a slight rise in first-quarter profit on Tuesday, helped by strong demand for its generic drugs in North America. Investors will be keen on any commentary on bigger rival Teva Pharmaceutical's unsolicited $40 billion offer for Mylan after the company rejected the offer. Mylan will provide an update on its proposed acquisition of Perrigo.
Biotechnology company Regeneron Pharmaceuticals Inc is expected to report first-quarter profit below analysts' expectations on Thursday, according to Thomson Reuters StarMine data, despite a label expansion of its flagship eye injection Eylea, which was also established as a superior treatment in relation to rival drugs. Still, it is expected that sales of Eylea, which accounted for about 61 percent of Regeneron's revenue last year, will match expectations. Investors are increasingly focusing on the company's non-Eylea assets, particularly focused on the approval and potential launch of its touted blockbuster cholesterol drug, alirocumab, developed with France's Sanofi.
Hospital operator Kindred Healthcare Inc is expected to report first-quarter earnings in line with analysts' estimates on Wednesday as the company continues to maintain a healthy pace of hospital admissions growth.
Wellcare Health Plan Inc is slated to report its first-quarter results on Wednesday. According to Thomson Reuters StarMine data, the company's revenue and profit will be in line with average analyst estimates. Although there has been a rise in memberships for government plans, investors are keeping a close watch on insurers and hospitals for signs that medical use and costs are rising more rapidly than expected, which can hurt insurers' profits and help hospitals.
Toronto-based gold producer Kinross Gold Corp is expected to report weaker first-quarter earnings on Tuesday due to lower gold prices. Investors are likely to question Kinross, whose production levels will fall sharply toward to the end of the decade, about its acquisition plans.
Crude oil refiner Western Refining Inc is expected to report a higher first-quarter profit on Tuesday as low oil prices help push up margins. Investors will watch how a marginal rise in crude prices is likely to affect the company's results in the coming quarters. On the same day, oil and gas producer Noble Energy Inc is expected to report a much lower first-quarter profit, hurt by weak oil prices. Investors will seek details about cost cuts and about capital plans for 2015. On Wednesday, refiner HollyFrontier Corp will report first-quarter results that are expected to be driven by higher demand and higher margins in its refining operations. Holly, which reduced its repurchase activity in the fourth quarter to preserve cash for a potential deal, now expects to ramp up buybacks in the first quarter. Also on Wednesday, offshore driller Rowan Co Inc is expected to report a fall in adjusted first-quarter profit as weak oil prices weigh on drilling activity. Other companies reporting first-quarter results in the day include Chesapeake Energy Corp, Marathon Oil Corp, Occidental Petroleum Corp and Transocean Ltd. Apache Corp reports first-quarter results on Thursday.
Canada's Agrium Inc reports first-quarter results after the markets close on Tuesday. Of interest is any update on ramping up production at the company's Saskatchewan potash mine and outlook on planting and spending by U.S. farmers. U.S. agribusiness Archer Daniels Midland Co also reports first-quarter results before the markets open.
Fertilizer maker CF Industries Holdings Inc reports first-quarter results on Wednesday after the markets close. Investors will look for an update on the company's aggressive expansion plans in the United States and views on the U.S. planting season.
Wendy's Co, the No. 3 U.S. hamburger chain, is expected to report first-quarter sales below analysts' estimates on Wednesday, according to Thomson Reuters StarMine data, as it loses out to casual dining restaurants that offer healthier options at lower rates. Investors will look for any revisions in the company's full-year profit forecast and updates on its restructuring plans.
Kellogg Co, the world's largest maker of breakfast cereals, has said it expected adjusted net sales to be flat this year, with flat or 2 percent lower adjusted earnings. The company, which gets about a third of its revenue from outside North America, also warned of a challenging macroeconomic environment this year due to the stronger dollar. Kellogg reports first-quarter results on Tuesday. Analysts expect cost savings from its ongoing "Project K" and higher spending on advertising and promotions to have helped the company.
Molson Coors Brewing Co, and its joint venture with SABMiller, MillerCoors LLC, will report first-quarter results on Thursday. Molson Coors is likely to report profit above analysts' estimates, according to Thomson Reuters StarMine. The company's efforts to overcome falling sales of its key brands such as Miller Lite and Coors Light, including changed labeling and higher ad spending, seem to be working, analysts said, citing sales data. Investors will look for indications of turnaround of these brands and an update on the company's search for a CEO for MillerCoors as Tom Long retires in June.
Post Holdings Inc, known for its cereals, protein bars and liquid eggs, said last week some chickens at an Iowa-based egg supplier, which supplies about 10 percent of Post's eggs, had tested positive for avian flu. When the company reports second-quarter results on Thursday, investors will look for an update on the final findings, how the company plans to handle the outbreak and if it will impact supply.
Estee Lauder Cos Inc is expected to report third-quarter sales below analysts' estimates on Tuesday, according to Thomson Reuters StarMine data, as a stronger dollar eats into sales from markets outside the United States. Estee had earlier cut its full-year profit forecast to reflect a rise in the dollar. However, the Chinese government will reduce import duty on consumer products from June to boost consumer spending. Analysts say the move bodes well for the company. Investors will look for updates on Estee's full-year forecast.
Perfume maker Elizabeth Arden Inc is expected to report lower-than-expected third-quarter sales on Thursday, according to Thomson Reuters StarMine data, as demand for its once-popular celebrity fragrances wanes. The company had raised in February its forecast for pretax restructuring charges related to some changes in its distribution strategy in China. At the time, the company had not provided details of these changes. Investors will look for such details and any forecast for the year.
Home and auto insurer Allstate Corp is expected to report better-than-expected first-quarter revenue and profit on Tuesday, according to Thomson Reuters StarMine data. The company had a dream fiscal year 2014 as it beat estimates in all the four quarters. Allstate maintained its combined ratio outlook for 2015 and investors will be interested in what the company plans to do to sustain growth.
Online lender LendingClub Corp is expected to report a first-quarter loss on Tuesday, hurt by higher expenses and low interest rates. The company has cut its rates nearly four times in the past one year due to increasing competition in the small business lending industry.
Motorola Solutions Inc, the maker of walkie-talkies and radio systems, is expected to report better-than-expected first-quarter profit on Wednesday, according to Thomson Reuters StarMine data, as it slashed costs.
Travel review website TripAdvisor Inc is expected to report lower first-quarter revenue on Wednesday, according to Thomson Reuters StarMine data, hurt by a strong dollar. Investors will await the company's forecast for the rest of the year. Priceline Group Inc, the world's largest online travel services company by bookings, reports its first-quarter results on Thursday. A stronger dollar and volatile foreign exchange rates are expected to hurt the company's revenue.
Online commerce company Groupon Inc is expected to post a first-quarter profit above Wall Street expectations on Tuesday, according to Thomson Reuters StarMine data. Investors will be looking for the company's plans and outlook for the remainder of 2015.
Graphics chip maker Nvidia Corp is expected to post a first-quarter profit above analysts' expectations on Thursday, according to Thomson Reuters StarMine data. The company has been benefiting from strong sales of its graphics chips for personal computers, even as the PC market remains sluggish. Nvidia has also been sharpening its focus on making chips for high-end automobiles and investors will look for more details on its plans for the remainder of 2015.
Electronic Arts Inc, the publisher of the "FIFA" and "Madden NFL" video games, is expected to report fourth-quarter revenue above analysts' estimates on Tuesday, according to Thomson Reuters StarMine data, driven by strong sales of its sports titles. Videogame maker Activision Blizzard Inc is expected to report first-quarter revenue above the average analyst estimate on Wednesday, according to Thomson Reuters StarMine data, helped by robust sales and subscription of its "World of Warcraft" and "Destiny" titles. Analysts expect the company to raise its full-year earnings forecast.
Nutrition products maker Herbalife Ltd, which is in a war with activist investor Bill Ackman, is expected to report first-quarter sales below analysts' expectations on Tuesday, according to Thomson Reuters StarMine data, hurt by a stronger dollar that reduces the value of sales from markets outside the United States. The U.S. government is investigating the company after Ackman's campaign accused it of working as a pyramid scheme. Latest developments include Ackman saying Herbalife executives are hiring their own criminal lawyers as investigations heat up. Investors will be interested in any updates related to the investigation and the company's forecast.
Hyatt Hotels Corp, the owner of the Park Hyatt and Grand Hyatt brands, is expected to report first-quarter revenue and profit above analysts' estimates on Tuesday, according to Thomson Reuters StarMine. Investors will be interested in whether group bookings bring in more revenue, signaling growing confidence in the U.S. economy.
Office supplies retailer Office Depot Inc is expected to report first-quarter sales below the average analyst estimate on Tuesday, according to Thomson Reuters StarMine data, hurt by continued weak demand for office products such as pens and paper in North America. Investors will be interested in any updates on the company's proposed merger with larger rival Staples.
Tallgrass Energy GP LP, a general partner holding company of Tallgrass Energy Partners LP, a master limited partnership affiliated with private equity firms Kelso and EMG, is expected to debut on the NYSE on Thursday. Shares of International Market Centers Inc, a provider of showroom space to home furniture and decor companies, are expected to start trading on the NYSE on Friday. Bojangles, the chicken-and-biscuits restaurant chain, is expected to raise about $106 million in its initial public offering on the same day, valuing the company at up to $610 million.
Mexico's central bank will release its private sector survey on inflation and growth on Tuesday after analysts lowered growth expectations to 2.95 percent and saw inflation of 3.11 for 2015 in the prior survey. Mexican Finance Minister Luis Videgaray is slated to give a speech on Wednesday at an infrastructure conference at 9:00 a.m. local time (1000 ET/1400 GMT). April inflation data will be released on Thursday, after the indicator ticked up slightly to 3.14 percent in March, just barely above the central bank's 3 percent target. Consumer confidence data for April will be released on Friday, after the data showed an uptick in March.
Comcast Corp reports first-quarter earnings after it abandoned its $45 billion deal to merge with Time Warner Cable on April 24. Comcast's U.S. business has remained strong as the deal was reviewed by regulators for about 14 months. Investors will keep an eye on details on the company's strategy moving forward and its ambitions to expand globally.
Demand for U.S. manufactured goods is expected to have jumped in March, sending factory orders up and signaling that the manufacturing sector is strengthening despite pressures from a stronger dollar. The Commerce Department is expected to report that new orders for U.S.-made goods rose 2 percent in March compared with a 0.2 percent increase the prior month. A rise in March would be the second consecutive month of increase, following a six-month streak of declines in factory orders. (1000/1400)
LIVE CHAT: Correspondent Luciana Lopez returns from Warren Buffett's annual meeting to take your questions Recapping highlights and insights from Berkshire Hathaway's annual investor show on Saturday in Omaha, correspondent Luciana Lopez takes questions in the forum on the mood from Omaha, given a weak start to the year for Warren Buffett's top picks. To join the conversation, click here bit.ly/1kTxdKD
AMC Networks Inc, known for hits such as "Breaking Bad" and "The Walking Dead," is expected to report a first-quarter profit below analysts' estimates, according to Thomson Reuters StarMine data. With AMC's another hit show, "Mad Men", drawing to a close, the company is gearing up to spend more on production. AMC's new shows, such as "Low Winter Sun", "Turn" and "Halt & Catch Fire", have failed to replicate the success of its previous hits.
Analysts expect Cablevision Systems Corp to post another quarter of losses in video subscribers as telecom companies continue to eat into its subscriber base with competitively priced phone and satellite TV packages. The cable TV company, however, is expected to post a first-quarter profit above analysts' expectations, according to Thomson Reuters StarMine, helped by higher cable TV prices and higher advertising revenue. Investors will be looking for details on the company's recent announcements to offer the HBO Now and Hulu streaming services to its Internet customers, in a bid to attract "cord-cutters" who ditch pay TV for Internet video products.
IT services provider Cognizant Technology Solutions Corp is expected to report a first-quarter profit slightly above the average analyst estimate, according to Thomson Reuters StarMine. Cognizant forecast a pickup in annual revenue growth as healthcare and financial services clients in North America boost spending.
Diamond Offshore Drilling Inc, one of the world's top five offshore drilling contractors, is expected to report a much lower first-quarter profit, hurt by soft demand and weak pricing for rigs. Investors will want to know how the company plans to cut costs. They will also look for details on expected demand and pricing, especially for the company's expensive ultra-deepwater rigs. Hotel, energy and financial services conglomerate Loews Corp's first-quarter earnings could be weighed down by its subsidiary, Diamond Offshore. Meanwhile, Loews' largest holding, insurer CNA Financial, is facing slowing pace of premium rate increases.
Exploration and production company Anadarko Petroleum Corp reports first-quarter results. The company said in March that it would reduce spending by about 33 percent this year as it responds to lower crude oil prices.
Food distributor Sysco Corp is likely to report third-quarter revenue above average analyst estimate, according to Thomson Reuters StarMine. However, investors are likely to be more interested in updates on the company's proposed acquisition of rival US Foods Inc, which is being blocked by the Federal Trade Commission, citing antitrust concerns.
Transportation services provider XPO Logistics Inc has benefited from surging demand for U.S. freight shipment as manufacturing output rises in a strengthening U.S. economy. When the company reports first-quarter results, investors will be looking for comments on its views on Europe, where it is investing $3.4 billion with the purchase of French logistics supplier Norbert Dentressangle.
Federal Reserve Bank of Boston President Eric Rosengren gives welcome and opening remarks before the Economic Growth and Regulatory Paperwork Reduction Act Outreach Meeting hosted by the Federal Reserve Bank of Boston. (0900/1300) After the opening remarks, Federal Reserve Board Governor Daniel Tarullo speaks. Separately, Federal Reserve Bank of Chicago President Charles Evans speaks on current economic conditions and monetary policy before the Columbus Economic Development Board Annual Meeting. (1225/1625). Also, Federal Reserve Bank of San Francisco President John Williams speaks on "Creating Jobs and Economic Opportunity through Small Business" before the Pacific Community Ventures Luncheon. (1510/1910)
The National Statistics Institute of Mexico will release gross fixed investment data for February (0900/1300) and HSBC's April PMI (0100/0500) will be published after the gauge cooled to a 5-month low in March.
Reporting by Ayesha Sruti Ahmed in Bengaluru; Editing by Kirti Pandey