Investing.com - Here’s a preview of the top 3 things that could rock markets tomorrow.
1. Washington May Overshadow Wall Street
While investors will always be paying attention to corporate numbers, stock moves and charts, there are times when Wall Street’s just distracted. Tomorrow will likely be one of those days as events in Washington could overshadow the tape.
Supreme Court nominee Brett Kavanaugh and Christine Blasey Ford, the woman who has accused Kavanaugh of sexual assault, are scheduled to appear at a Senate Judiciary Committee hearing.
The hearing comes amid other accusations by women against Kavanaugh. President Donald Trump has backed his nominee, saying he believes Kavanaugh’s denials.
And Trump is also scheduled to meet with Deputy Attorney General Rod Rosenstein.
This meeting comes after a chaotic Monday, when there were sourced reports that Rosenstein had either quit, been fired, both and neither.
Rosenstein is still in his position at the Justice Department and oversees the Robert Mueller investigation into possible Russian influence in the Trump campaign.
2. Pending Home Sales Arrive as Traders Look to December Fed Meeting
The Federal Reserve delivered its expected interest-rate hike today and left the market to debate whether removing “accommodative” from its statement means rates are close to neutral (dovish) or that the economy is strong enough for the Fed to be bolder (hawkish).
Fed chief Jerome Powell said policy is just right for now, but that won’t stop speculation.
Still, investors are free to focus on the new data to get a handle on whether the Fed hikes one last time in 2018.
Second-quarter final GDP numbers arrive before the bell, but little is likely to change from the last report.
Of more importance are the pending home sales numbers for August, which arrive at 10:00 AM ET (14:00 GMT).
Housing looked a little shaky in July, but new home sales surprised to the upside for August.
Economist expect that pending home sales dipped 0.2% from last month, compared with a 0.7% drop in the prior reading.
3. Five Companies Set to Go Public
The performance of initial public offerings can be a good indicator about the health of the overall market and the IPO calendar is getting busier with summer in the rearview mirror.
Five companies are expected to debut tomorrow, including four in the biotech space.
The biggest deal is Urovant Sciences, which is expected to raise $150 million. London-based Urovant currently has its drug vibegron, which treats overactive bladder, in a Phase 3 clinical trial.
The one scheduled IPO not in the drug business is China-based LAIX, which is an education provider specializing in artificial intelligence. It looks set to raise about $72 million.