Weighing the Week Ahead: Will Corporate Earnings Results Change the Message of the Markets?

It is a light economic calendar without any of the most important reports. The government shutdown will command increasing attention as long as it continues. Finally, there is some real competition in financial news – the start of earnings season. For weeks it has been a battle between economic data and stock prices, between economists and traders, between those investing on fundamentals and those trying to time the market. Expect the punditry to be asking:

Will corporate earnings results change the message of the markets?

I hope we can analyze stocks instead of political controversies in the week ahead.

Last Week Recap

In my last edition of WTWA I took a deeper look at indicators that were “rolling over.” While that did not slow down the exaggerated use of the term, perhaps a few people were inoculated.

I also mentioned my annual preview for Seeking Alpha. This highlights the factors I see as most important in the year ahead. Currently it is only published on Seeking Alpha, so other readers should look for it there.

The Story in One Chart

I always start my personal review of the week by looking at a great chart. This week I am featuring Jill Mislinski. She includes a lot of relevant information in a single picture – worth more than a thousand words. Read the full post for more great charts and background analysis.


Stocks gained 2.5% with lower volatility. The trading range of 2.8% was only slightly higher. You can see the results compared to some past data in our indicator snapshot (below).

Personal Note

I’m off next weekend. Mrs. OldProf and I are visiting with friends. I’ll try to post an update on indicators and perhaps raise some questions for discussion, but no promises. She recommends some chilling time and is probably right.


Everyone is aware of the Internet of Things, and probably the growing importance. But what about the rate of that growth? Long-term investors should have something in the portfolio to take advantage of the expected revenue. Priceonomics has a good discussion and this chart.

The News