What to Watch in the Day Ahead - Wednesday, March 25

Tue Mar 24, 2015 3:04pm EDT
 
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(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)

The Commerce Department report on non-defense capital goods orders excluding aircraft, a closely
watched proxy for business spending plans, is expected to rise 0.3 percent in February.
Economists polled by Reuters expect a 0.4 percent rise in durable goods order for last month.
(0830/1230) The Commerce Department is also due to release building permit revisions for
February. Also, the Mortgage Bankers Association will issue seasonally adjusted index of
mortgage application activity for the week. (0700/1100)
    
Facebook's two-day F8 Developer Conference begins in San Francisco. Facebook may put the
spotlight on its Messenger app during its annual developer conference, introducing new features
that turn the messaging service into a full-fledged entertainment platform that can better
compete against the likes of Snapchat and WeChat. The world's No.1 Internet social network is
also likely to unveil new mobile advertising tools at the conference, as well as features for
its Oculus virtual reality headset and its Instagram photo-sharing service.
    
The world's largest commercial distributor of the Linux operating system Red Hat Inc is expected
to report fourth-quarter profit below estimates, according to Thomson Reuters StarMine. Red Hat,
which gets about 37 percent of its revenue from outside the United States, is expected to be
affected by the stronger dollar. Billings proxy is expected to rise above the average analyst
estimate, helped by revenue from its new products. Billings proxy is defined by the company as
total revenue plus change in deferred revenue.
    
PVH Corp, the maker of Tommy Hilfiger jeans and Calvin Klein clothing, is expected to report a
fourth-quarter profit below analysts' estimates, according to Thomson Reuters StarMine. The
company, which gets about 45 percent of its revenue from international markets, warned in
December that its results would be hurt by a strong dollar and intense competition in the U.S.
apparel industry. PVH has also been hurt by a slump in demand for denim clothing. Investors will
look for initial 2015 forecast, performance of the Calvin Klein and Tommy Hilfiger brands, and
comments on the overall industry.
    
Federal Reserve Bank of Chicago President Charles Evans speaks on current economic conditions
and monetary policy before the Official Monetary and Financial Institutions Forum City Lectures,
"Monetary Policy and the Economy" event in London. (0630/1030)
    
In the Senate Banking Committee hearing on the Oversight and Transparency of the Financial
Stability Oversight Council (FSOC), Treasury Secretary Jack Lew will testify on FSOC
transparency and other controversial topics, after the panel has come under fire from critics
who say it operates in secret and does not give companies enough insight into whether they are
being looked at for possible "designation", a status imposing greater regulation and capital
requirements.
    
Apollo Education Group is expected to report a loss for the second quarter, ended Feb. 28, hurt
by a glitch in its new online classrooms that resulted in student attrition during the first
quarter. Apollo, which has been trying to reverse student enrollment losses, implemented a new
online classroom at the University of Phoenix to provide more personalized learning during the
fourth quarter last year. However some computers couldn't connect with the new system and
affected about 7,000 students. Investors will look for comments on Apollo's efforts to help
students re-enroll in online classrooms, and an update on 2015 earnings forecast.
    
Yingli Green Energy Holding Co Ltd will report its fourth-quarter results. The Chinese solar
panel maker is expected to report a smaller quarterly loss, helped by lower costs and improved
demand according to analysts. Yingli has said it would focus on the lower-priced Chinese market
following trade duties in the United States and the European Union, which might hurt margins. 
    
Bank of Canada Deputy Governor Timothy Lane gives presentation as part of the bank's regional
outreach program in British Columbia. (1530/1930)
    
The Mexican government agency's data will show how economic activity fared in January, after
shrinking 0.34 percent in December on a monthly seasonally adjusted basis. (1000/1400)
Separately, Argentine government is due to release February trade balance data. (1500/1900)

 (Compiled by Astha Rawat in Bengaluru; Editing by Joyjeet Das)