Key events next week: IPO launches, Q2 earnings, Japan inflation data, ECB interest rate decision, and more

Take a look at the upcoming economic data releases in India and from around the world (Representative Image)

The week beginning October 23 is packed with important national and global macroeconomic data releases that could potentially impact the financial markets.

In India, the forthcoming week will see Q2 earnings reports from companies in the banking, information technology, pharmaceutical healthcare and consumer appliances sectors. Furthermore, there will be one new Initial Public Offering (IPO) launch on the mainboard - Blue Jet Healthcare, while the SME segment will witness subscription openings for On Door Concepts, Paragon Fine And Speciality Chemicals, Shanthala FMCG Products, and Maitreya Medicare. Additionally, IRM Energy, Arvind and Company Shipping Agencies, and WomanCart are all set to make their debut in the stock market.

On the global front in the next week, preliminary monthly Purchasing Managers' Index (PMI) readings for Manufacturing and Services for October from key economies like Japan (October 23), the US, the UK, and the Eurozone (October 24) are also part of the economic reports that will be released the coming week. Inflation data release from Japan (October 26) for the month of October is important. In addition, GDP Q3 Preliminary numbers will be out from the US (October 26). In addition, global markets are waiting for the European Central Bank (ECB) decision (October 26) on interest rates.

Here's a preview of important Economic and Market events, along with upcoming macroeconomic data releases in India and across the world for the upcoming week.

October 23

Japan Manufacturing/Services PMI Preliminary Oct

In September 2023, Japan's Manufacturing Purchasing Managers' Index (PMI) was slightly revised downward to 48.5, following a final figure of 49.6 in August. Meanwhile, Services PMI dropped from 54.3 in August to 53.8 in September, impacted by a deceleration in new business and a halt in export orders. The Composite PMI, which combines both manufacturing and service activity data, decreased to 52.1 in September, down from 52.6 in August.

October 24

US Manufacturing/Services/Composite PMI Preliminary Oct

In September, the S&P Global US Manufacturing PMI recorded a reading of 49.8, showing an improvement from August's 47.9. The Services PMI for September was 50.1 and marked a slight increase from August's 50.5. Composite PMI remained stable at 50.2 in September, identical to the August figure.

UK Manufacturing/Services/Composite PMI Preliminary Oct

The S&P Global/CIPS Manufacturing PMI inched up to 44.3 in September, a slight improvement from August's 43.0, In contrast, the Services PMI for last month recorded a reading of 49.3, a slight dip from August's 49.5. The Composite PMI was substantially revised upwards to 48.5 in September 2023, surpassing the preliminary estimate of 46.8 and showing little change from August's 48.6.

Eurozone Manufacturing/Services/Composite PMI Preliminary Oct

The Eurozone Manufacturing PMI, as compiled by S&P Global, decreased to 43.4 in September, slightly lower than August's 43.5. In September, the Services PMI stood at 48.7, an improvement from August's 47.9. The Composite index experienced a minor increase, rising to 47.2 from the preceding month's 46.7.

October 26

US GDP Q3 Preliminary

In Q2 (April - June), the US economy showed a 2.1% annual growth rate, which represented a slight slowdown compared to the revised 2.2% annual growth observed in the first quarter (January - March).

Japan CPI Oct

In September 2023, Japan's year-on-year inflation rate dropped to 3.0%, down from the 3.2% recorded in August 2023.

ECB Interest Rate Decision Oct

The European Central Bank (ECB) in its last monetary policy meeting on September 14 increased its deposit rate by 25 basis points to reach 4.00 percent. Interest rates on the main refinancing operations and the marginal lending facility were also raised to 4.50% and 4.75%, respectively. This marked the ECB's tenth consecutive rate increase as it grapples with surging inflation.

On October 26, the six members of the ECB Executive Board, along with the 16 governors of Euro area central banks, will gather to vote on the interest rate setting. Interest rate adjustments are closely monitored by traders. The ECB Monetary Policy Statement offers insights into the economic factors influencing their decision.

US Initial Jobless Claims

The number of Americans filing new claims for unemployment benefits decreased by 13,000 to 198,000 for the week ended October 14, the lowest level since January. In the previous week, initial Jobless claims amounted to 211,000. The four-week moving average of claims decreased by 1,000 to 205,750. Jobless claim applications are viewed as broadly representative of the number of layoffs in a given week.

Earnings from India and the US in the coming week

The upcoming week is packed with Q2 earnings results from the banking, information technology, pharmaceutical healthcare and consumer appliances companies.

Market participants will be watching important results scheduled to come out from Axis Bank, Tech Mahindra (Oct 25), Asian Paint (Oct 26), Dr Reddy's, Bajaj Finserv, Cipla, Mahindra and Mahindra Financial Services, Novartis India, TTK Prestige (Oct 27).

In the United States, major companies such as Microsoft, Alphabet, HSBC Holdings, Coca-Cola, Visa, Novartis AG, General Electric Company, Barclays, Moody's Corporation, 3M, GE HealthCare Technologies Inc, Spotify Technology, Universal Health Services, Invesco Plc, Xerox Holdings Corporation (Oct 24), Meta Platforms, Boeing Company, T-Mobile, Deutsche Bank, Seagate Technology, Harley-Davidson (Oct 25), Amazon.com, Shell PLC, Mastercard Incorporated, Merck & Company, Inc, TotalEnergies SE, Intel Corporation, S&P Global Inc, Shopify Inc, Ford Motor Company, VeriSign, Inc, Western Digital Corporation (Oct 26), Exxon Mobil Corporation, Chevron Corporation, Sanofi, Colgate-Palmolive Company (Oct 27) are set to release their quarterly reports.