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Verizon Communications Inc (N:VZ), the largest U.S. wireless service provider, is expected to report
marginal growth in third-quarter profit. The company in September warned earnings may "plateau"
next year as evolving consumer habits drive changes to its wireless business model and as it
forays into new markets such as mobile video amid stiff competition. Investors will look for
subscriber additions and signs that its investments in "Internet of Things", the concept of
connecting household devices to the Internet, will drive revenue and profit.
With three cuts to its 2015 forecast already this year, United Technologies Corp (N:UTX) will be looking
to shore up investor confidence when it reports third-quarter results. Analysts will be closely
watching for any impact the cooling Chinese economy is having on the conglomerate's Otis
elevators business and for trends in its aerospace aftermarket sales, after UTC cut its
expectations for that business earlier this year. Investors will be also looking to hints for
performance in 2016, although CEO Greg Hayes has already signaled that the company is unlikely
to meet its traditional goal of an at least 10 percent rise in profit next year.
Property and casualty insurer Travelers Cos Inc's third-quarter earnings are expected to beat
analysts' expectations. With no major catastrophes during the quarter, the company, a Dow 30
component, is expected to report a higher quarterly profit. The company's investment income,
which has been falling as the Federal Reserve has maintained interest rates since the financial
crisis, will be an area of focus. The steep fall in oil prices has also hit the company's
investments in the energy industry made through private equity funds. The company, currently led
by veteran Jay Fishman, is in the middle of a transition, with Alan Schnitzer, CEO of Travelers'
business and international insurance unit, expected to take over this December.
Yahoo (O:YHOO) Inc is expected to report third-quarter profit well below analysts' average estimate. The
company, which has forecast lower-than-expected revenue for the quarter, is planning a major
shakeup in its media unit. Yahoo has been developing content for its mobile platform to drive
user engagement and ad sales as its core online advertising business struggles in the face of
stiff competition from Alphabet Inc and Facebook Inc (O:FB). Investors will look for details on Yahoo's
plan to proceed with the spinoff of its stake in Chinese e-commerce company Alibaba (N:BABA) Group
Holding Ltd, despite running into hurdles with the U.S. Internal Revenue Service.
Housing starts and building permits for September are expected to show a gain from the previous
readings. Groundbreaking is likely to have increased to a seasonally adjusted annual pace of
1.15 million units from 1.13 million units in August, and building permits are predicted to have
advanced to a 1.164 million-unit pace from a 1.161 million-unit pace in August. (0830/1230)
Federal Reserve Chair Janet Yellen gives welcome remarks, and Labor Secretary Thomas Perez and
Bureau of Labor Statistics (BLS) Commissioner Erica Groshen will participate in the Labor Hall
of Honor induction ceremony for former BLS commissioners Carroll Wright and Janet Norwood in
Washington. Separately, the Federal Reserve Board Governor Jerome Powell gives introductory
remarks before "The Evolving Structure of the U.S. Treasury Market" conference hosted by the
Federal Reserve Bank of New York. (0915/1315)
Virtualization software maker VMware Inc is likely to report third-quarter profit above
analysts' estimates. The primary focus will be around any commentary on the Dell-EMC acquisition
as VMware reported preliminary results on October 12. Dell's offer is structured in a way that
will give EMC (N:EMC) shareholders a special stock that tracks the share price in VMware, which is
majority owned by EMC. Analysts have said Dell's plan to create a VMware tracking stock will
likely hit the company's share price as the size of the float increases.
Large trust bank Bank of New York Mellon (N:BK) Corp reports earnings for the third quarter. Analysts
will be looking to see the impact of a software glitch that kept the bank from properly
producing fund valuations to clients over the summer.
Lockheed Martin Corp (N:LMT), the Pentagon's largest arms supplier, reports its earnings for the third
quarter. Wall Street is expecting earnings of $2.72 per share, down from $2.76 a year earlier,
according to Thomson Reuters I/B/E/S.
Chipotle Mexican Grill Inc (N:CMG) is Wall Street's favorite restaurant chain, but investors are losing
patience with the chain's cooling sales. Investors will want to know whether the end of its
carnitas crisis returns the company to stronger growth when it reports third-quarter results.
Advertising company Omnicom Group Inc (N:OMC) is expected to report third-quarter profit above the
average analyst estimate as it benefits from higher advertising spending by U.S. businesses. The
owner of agencies such as BBDO Worldwide, TBWA Worldwide and Goodby Silverstein & Partners has
also witnessed a growth in its programmatic advertising business. Investors will be looking for
the impact of a strong dollar on the company's international revenue.
Device maker Intuitive Surgical Inc (O:ISRG) is expected to report better-than-expected third-quarter
revenue, helped by higher sales of its Endowrist device and also of its flagship surgical
systems. Analysts will be looking to see whether currency headwinds, which are expected to
worsen in the second half of the year, drag margins down.
All 40,000 union members at Fiat Chrysler Automobiles (N:FCAU) U.S. will vote on a proposed new contract,
rather than stretch the balloting over more than a week as was done in the recent failed vote.
The Fiat Chrysler United Auto Workers members rejected by a nearly 2-to-1 margin last month a
proposed four-year contract deal. It was the first such proposal rejected in three decades by
workers at a major U.S. automaker. Now, a different and arguably richer deal is being voted up
or down over a two-day vote.
Canadian Pacific Railway Ltd is expected to post a higher third-quarter profit, helped by strong
freight volumes and improved operating efficiency. However, investors will want to know about
the future demand as weak oil prices could erase the cost advantage railroads have over truck
operators. The company had already cut its full-year earnings forecast and predicted missing
analysts' estimates this year. Investors will also want to know about how the company plans to
improve its margins and its capital budget plans.
The value of Canadian wholesale trade is expected to have increased in August. Economists
forecast a gain of 0.2 percent in August, compared to its unchanged reading in July. (0830/1230)
LIVECHAT: FOREX FOCUS with FX Live Analytics' Adam Button
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(All references to a company's results expected to beat or miss analysts average estimates are
according to Thomson Reuters StarMine, unless mentioned otherwise)