This Week: Verizon earnings, GDP and inflation reports

A look at some of the key business events and economic indicators upcoming this week.

VERIZON RESULTS

Telecom giant Verizon reports its fourth-quarter financial results before the bell on Tuesday.

New York-based Verizon is expected by analysts to post earnings per share of $1.08 on sales of $35.6 billion. Last year, Verizon met Wall Street's expectations with profit of $1.19 per share on $35.3 billion in sales. In the third quarter, Verizon added 434,000 broadband subscribers, finishing the period with 10.3 million total.

EYE ON THE ECONOMY

The Commerce Department issues its first estimate of how the U.S. economy performed in the fourth quarter on Thursday.

Economists expect growth in the final quarter of 2023 to have cooled considerably, falling to 1.3% from the cumulative effects of higher borrowing rates on consumers and businesses. In the third quarter, Americans shrugged off higher interest rates, spending enough to help drive the economy to a brisk 5.2% annual pace from July through September.

GDP, seasonally adjusted annual rate, by quarter:

Q3 2022: 2.7%

Q4 2022: 2.6%

Q1 2023: 2.2%

Q2 2023: 2.1%

Q3 2023: 5.2%

Q4 2023 (est.): 1.3%

Source: FactSet

GAUGING INFLATION

The Commerce Department delivers its December snapshot of U.S. consumer spending and inflation on Friday.

The personal consumption expenditure price index, a gauge of inflation that’s closely monitored by the Federal Reserve, is expected to show that inflation held firm in December. The Fed began raising interest rates in March 2022 in a bid to tamp down inflation. The central bank has held rates steady at its last three meetings as inflation has receded.

PCE Deflator, annual percent change, seasonally adjusted:

July: 3.3

Aug.: 3.4

Sept.: 3.4

Oct.: 2.9

Nov.: 2.6

Dec. (est.): 2.6

Source: FactSet