Powell speech, GDP revision, private hiring and more: Wednesday's 5 things to know
Traders will also be focused on how Congress votes to prevent a railroad strike, plus data points on private hiring and pending home sales
Adam Kobeissi: Fed would rather overtighten than undertighten
The Kobeissi Letter editor-in-chief provides insight on the impact of the Fed's meetings on the market on 'Making Money.'
Here are the key events taking place on Wednesday that could impact trading.
POWELL SPEECH: The Chairman of the Federal Reserve is set to speak Wednesday at the Brookings Institution.
It is the last major scheduled speech for Fed officials before the next monetary policy meetings on Dec. 13-14.
Traders will pay close attention to what Powell says as it could give clues about what the next move in interest rates could look like.
INFLATION FIGHT COULD LAST UNTIL 2024, FED OFFICIAL WARNS
Federal Reserve Chair Jerome Powell will speak at the Brookings Institution. (AP Photo/Manuel Balce Ceneta, File / AP Newsroom)
ECONOMIC REPORTS: Several economic data points that could play into the Fed's decision making will be released including: the second estimate of 3Q GDP. The ADP private payrolls report, job openings and labor turnover survey, pending home sales and the Fed’s Beige Book.
A BNSF rail terminal worker monitors the departure of a freight train in Galesburg, Ill. ((AP Photo/Shafkat Anowar, File) / AP Newsroom)
CONGRESS AND RAIL VOTE: The U.S. House of Representatives was set to vote Wednesday to block a rail strike that could potentially happen as early as Dec. 9, after President Joe Biden warned of dire economic consequences and massive job losses.
House Speaker Nancy Pelosi said lawmakers will vote Wednesday to impose a tentative contract deal struck in September on a dozen unions representing 115,000 workers.
Pelosi said the House would vote separately on Wednesday on a proposal to give seven days of paid sick leave to railroad employees.
BIDEN'S PUSH TO AVERT NATIONAL RAIL STRIKE FACES OPPOSITION BY PROGRESSIVE DEMOCRATS
There are no paid sick days under the tentative deal after unions asked for 15 and railroads settled on one personal day.
The measure needs a simple majority to pass the House. The bill would require a supermajority of 60 out of 100 votes to pass the Senate.
The U.S. Congress has passed laws to delay or prohibit railway and airline strikes multiple times in recent decades.
HEWLETT-PACKARD ENTERPRISE: Shares are gaining 3% in premarket trading after the company reported quarterly results in line with analysts’ estimates and offered strong revenue guidance.
The company forecast fiscal first-quarter sales of between $7.2 billion and $7.6 billion, while analysts polled by FactSet on average have modeled $6.98 billion.
STOCK MARKET COULD PLUNGE ANOTHER 24% NEXT YEAR, BANK OF AMERICA WARNS
HPE reported a fiscal fourth-quarter net loss of $304 million, or 23 cents a share, compared with net earnings of $409 million, or 31 cents a share, in the year-ago quarter. Adjusted earnings were 57 cents a share, according to the Wall Street Journal.
Analysts surveyed by FactSet had expected on average net income of 57 cents a share on revenue of $7.37 billion.
Entrance of a pet products and services retailer (iStock / iStock)
EARNINGS REPORTS: Before the market opens, results are due from Build-A-Bear Workshop and Petco.
After the bell, Box, Five Below, La-Z-Boy, Okta, Salesforce, and Victoria’s Secret will update investors on their earnings.