What to Watch in the Day Ahead - Wednesday, Sept 16

Tue Sep 15, 2015 2:44pm 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)

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)