Elections in Zimbabwe, profits of UK banks, US monetary policy

Monday

Elections in Zimbabwe

Zimbabweans will go to the polls in the first presidential election since Robert Mugabe, who led the country for more than three decades, been ousted. The election will be the largest since the independence of the South African nation in 1980. Emmerson Mnangagwa, who succeeded Mugabe and is a veteran of the ruling party Zanu-PF, and Nelson Chamisa, the leader of the Movement for Democratic Change. favorites. Both have promised to make foreign investments, but holding free, fair and peaceful elections will be a crucial first step in attracting investment to Zimbabwe, which was once a regional exporter, but is now hit by poverty and poverty. unemployment.

Italian Prime Minister visits Trump

US President Donald Trump should welcome Italian Prime Minister Giuseppe Conte to the White House, trade and NATO being probably on the agenda . Last week, Mr. Conte gave his support to the international alliance, but the members of the populist coalition that he leads have sometimes questioned the nature of the involvement of the international community. Italy to NATO

Hunt to China

Jeremy Hunt visits China where he will meet with Chinese Premier Li Keqiang and attend the ninth UK-China strategic dialogue in Beijing. The visit takes place as the United Kingdom seeks to tighten its foreign investments in line with other Western countries such as Germany and Australia, while Chinese taekwés are increasingly many

Caterpillar the second quarter results with investors looking for input cost commentary. The company said in April that its first-quarter profits would be the "high watermark" for the year, as rising raw material costs could reduce operating profit margins in the coming quarters. Lloyd's of London Insurer Hiscox is expected to report higher pre-tax profit in the first half, aided by its retail activities. Investors will be looking for comments on insurance premiums, which are now rising after the industry has faced record bums of hurricanes, earthquakes and forest fires over $ 135 billion last year.

Tuesday

They report interim results this week and they are likely to boast of rising profits and promise increased payments to shareholders – but a quick look at the course of their shares would suggest that they are heading towards problems. The UK banking sector is down 8 percent over the last month, underperforming the FTSE 100 index and their US rivals. Brexit worries, political uncertainty and the risk of a trade war all weigh on the appetite of investors and no amount of positive news will change that. Standard Chartered reports first, with strong economic growth in Asia expected to increase revenues by almost 10 percent. Investors will look Lloyds Banking Group for a possible buyout on Wednesday. Barclays should benefit from the good performance of investment banking activities that have already boosted the United States. On Friday, investors will turn to Royal Bank of Scotland to consolidate its plans to pay its first dividend in a decade.

Earnings of companies

Apple is expected to record a rise in sales and profit for the third quarter, thanks to the good sales of its iPhones. Investors will be delighted to hear how the top-of-the-line iPhone X has performed as global smartphone sales are down. Apple forecasts revenue between $ 51.5 and $ 53.5 billion, with a gross margin between 38 and 38.5%. Rising sales of cosmetics and home care should help Procter & Gamble announced a rise in its fourth-quarter revenue. The Chinese online research giant Baidu is expected to post an increase in earnings in the second quarter, driven by the growth of its advertising activities.

Wednesday

US Monetary Policy

The committee should leave its interest rates unchanged. Analysts expect two rate hikes of 25 basis points this year, one in September and another in December, and investors will monitor the consequences of flattening the yield curve and how the rate will go. "Neutral" federal funds could determine up to where the committee will raise the federal funds rate before it starts curbing the economy. In addition, a re-evaluation of the appropriate size of the "normal" balance sheet could affect the amount of securities that the Fed will buy back in the next few years, according to HSBC Global Research.

Profits of Societies

Capita posted results in the first half. The UK outsourcer is undergoing a redesign after several profit warnings and a share issue. BAE Systems reports semi-annual results after winning a major contract for the construction of new warships for Australia in June. FMC Corporation which will release its lithium division as a publicly traded company later this year, is expected to announce quarterly results. Prudential Financial is expected to report a strong quarter driven by the performance of its variable annuity business and international operations. Tesla discloses the second quarter results about a month after the announcement of the achievement of its goal to build 5,000 Model 3 a week, as part of the ramp-up of its very last vehicle. Analysts, on average, expect the company to post a loss of more than $ 600 million after a period of intense spending on Model 3, which has generated more questions about its situation. cash.

19659005] It is widely expected that the Bank of England will increase its interest rates from record lows to which they were reduced after the financial crisis. Investors expect the Monetary Policy Committee to raise the base rate from 0.5% to 0.75%. These are the highest interest rates in the UK since 2009. While recent data is weaker than expected and there are not many signs yet of it. a sustained rise in domestic inflation, officials from the Bank of England argue that labor productivity growth is fast as in the past and, with unemployment rates at historically low levels, wage pressure will eventually to come back.

The decision on interest rates will be accompanied by the latest edition of the central bank's inflation report. the future of the British economy and the pressures that exert on it. Governor Mark Carney will also give a press conference after the announcement.

Corporate Profits

Austria OMV publishes its second quarter results with investors looking for an updated outlook and details regarding the maintenance of its Romanian refinery. Siemens will release the third quarter results and unveil an updated strategy as the group plans to reduce its industrial divisions from three to five. The half-yearly results will come from the British engineer Rolls-Royce who is under pressure to meet forecasts despite the rise in aircraft costs since the parts do not last as long as expected on its engine Trent 1000. The Indonesian company Oil and Natural Gas Corporation is expected to record higher profits, helped by rising domestic gas prices and lower operating costs. The French bank Natixis publishes the results of the second quarter and discusses performance and prospects. AIG Investors will watch for signs of a turnaround in second-quarter earnings. CEO Brian Duperreault, who took over AIG's leadership a little over a year ago, promised to boost returns and develop the company.

Friday

Data on jobs in the United States

Data should show that hirings cooled in July, the US economy creating 195,000 jobs, compared to 213,000 in June. The unemployment rate is expected to fall to 3.9%, while average hourly earnings are expected to increase, up 0.3% in July from 0.2% in June

. 1965-19005] Brazil Petroleo Brasileiro SA reports its second-quarter results after a domestic crisis over diesel prices in May led to government interference in oil prices 39, a state-controlled oil company, continues to weigh on planned refinery sales. Enbridge Canadian Pipeline Company reports second-quarter results with investors looking to find out if the company is still looking to sell badets and an updated line oil pipeline reconstruction plans 3.