What to Watch in the Day Ahead - Wednesday, Sept 16
(The Day Ahead is an email and PDF publication that includes the day's major stories and events, analyses and other features. To receive The Day Ahead, Eikon users can register at . Thomson One users can register at RT/DAY/US. All times in ET/GMT) Investors brace for the much-anticipated the U.S. Federal Reserve's a two-day meeting on interest rates. A volatile few weeks in financial markets could be the latest reason for the central bank to delay an interest rate hike when policymakers meet. In the run-up to the meeting, Fed Chair Janet Yellen and most other Fed governors have been silent, and a host of other Fed officials have given mixed signals about raising interest rates. Fed officials have expressed concern about inflation persistently running below the Fed's 2 percent target. (1400/1800) U.S. consumer prices are expected have remain unchanged in August as gasoline prices fell and a strong dollar muted underlying inflation, which could put the Federal Reserve in a difficult position as it decides whether to raise interest rates. The expected unchanged reading in the consumer price index follows a 0.1 percent gain in July. Economists expect the so-called core CPI, which excludes food and energy, edged up 0.1 percent for a second straight month. (0830/1230) Meanwhile, the National Association of Home Builders releases the housing market index for September. (1000/1400) Software maker Oracle Corp is expected to report a small drop in first-quarter revenue, according to Thomson Reuters StarMine data. Oracle, like other established tech companies, is looking to offer more cloud-based software, essentially providing services remotely via data centers rather than selling installed software. The 38-year-old company has had some success with the cloud model, but is not moving fast enough to make up for declines in its traditional software sales. Analysts say there are signs of a slight pickup in demand with the shift to cloud, but expect headwinds for the company's traditional license business to continue in the coming quarters. Package delivery giant FedEx Corp reports its first-quarter results. Analysts and investors will be watching to see what impact the recent global economic turmoil has had on the company's lucrative international package business and whether low jet fuel prices have given that business a boost. The market will also be watching for color on the all-important upcoming peak season. A slew of companies including UBS AG, Nasdaq Inc, CME Group Inc, Bank of America Corp, Wells Fargo & Co, Citigroup Inc, JPMorgan Chase & Co, Morgan Stanley and Allstate Corp are scheduled to speak at a three-day Barclays financial services conference. Canadian manufacturing sales are forecast to have jumped 1 percent in July, after a 1.2 percent increase in June. (0830/1230) Meanwhile, Statistics Canada releases foreign investment figures in Canadian securities for July. (0830/1230) Separately, PayNet releases its small business lending index for Canadian firms in the second quarter. Potash Corp CEO Jochen Tilk and a senior Mosaic Co executive speak at a Credit Suisse investor conference in New York. Investors will be interested whether Tilk makes comments about Potash Corp's attempts to buy German rival K+S, including whether it will make a bid directly to shareholders. Brazilian statistics agency IBGE releases retail sales data, which is likely to show sales fell for a sixth straight month in July as rising unemployment and high interest rates sent consumer confidence to an all-time low. Sales volumes, excluding automobiles and building materials, likely fell a seasonally adjusted 1.0 percent in July from June. LIVECHAT - FED FOCUS: Jim Walker, Founder and MD, Asianomics Will the U.S. Federal Reserve live up to the expectations of a rate hike in the much-touted September meeting that starts on Wednesday? Even as China continues to spook markets, is this just a temporary pullback in an ongoing bull market or are we entering a bear market? Jim will join us to share his views on global macros and markets from Hong Kong (0000/0400). To join the conversation, click here: bit.ly/1kTxdKD (Compiled by Hardik Vyas in Bengaluru; Editing by Savio D'Souza)
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