On Thursday, January 15th, attention will be focused on the earnings reports from prominent financial institutions, including Morgan Stanley and Goldman Sachs. Morgan Stanley is set to release its fourth-quarter results before the market opens, with analysts predicting a robust performance that is expected to carry momentum into 2026. The bank’s wealth management and investment banking sectors are anticipated to drive this strength, while net interest income is projected to show a modest quarter-over-quarter increase.
In addition, Taiwan Semiconductor Manufacturing Company (TSMC) will be announcing its earnings, with forecasts suggesting that the company’s profitability could reach its highest level in three years. The surging demand for artificial intelligence is expected to positively impact TSMC, with predictions guiding capital expenditures to potentially exceed $48 billion by 2026.
On the economic front, the Federal Reserve will be in the spotlight, with significant commentary scheduled throughout the day. This follows recent political comments from former President Trump, who criticized Fed Chair Jerome Powell, suggesting he would soon be ousted from his position. Yahoo Finance’s Jennifer Schonberger will be interviewing Fed Governor Michael Barr at 10:00 a.m. Eastern, an event that should provide insights into the Fed’s current stance.
Additionally, new data on the labor market will be released, including initial jobless claims. Economists are forecasting a rise in claims to approximately 215,000, indicating that more individuals are filing for unemployment benefits, although the overall claims remain historically low. This mixed data reflects the complexities of the current economic landscape as it continues to evolve.