Investing.com - Here’s a preview of the top 3 things that could rock markets tomorrow
Alphabet to drag the Nasdaq down?
Google parent company Alphabet Inc Class A (NASDAQ:GOOGL) is likely to be ‘one of the stocks to watch’ on Tuesday, after the tech giant posted a 27.7% drop in quarterly profit on Monday after the U.S. closing bell, following the $2.74 billion regulatory fine levied by the European Union.
Alphabet beat expectations on both the top and bottom line, reporting earnings of $5.01 per share on $26.01 billion in revenue, compared to earnings of $4.49 per share on $21.5 billion in revenue a year ago.
A dip in net income for the quarter, however, to $3.52 billion compared to $4.88 billion a year ago offset better-than-expected earnings and revenue, as shares of Alphabet slipped more than 2% in after-hours trade.
Investors are expected to closely monitor the tech giant's share price for any further downside movement.
The pound awaits fresh direction
A speech by Bank of England MPC member Andy Haldane is expected to provide further insight on whether the central bank continues to support the idea of tapering its ultra-accommodative monetary policy measures later this year.
Haldane’s MPC colleague, Ben Broadbent, recently said the central bank should resist increasing interest rates while the direction of the economy remains unclear.
Despite Broadbent’s dovish comments, GBP/USD has edged higher on expectations that the Bank of England would adopt tighter monetary policy measures, following hawkish comments in June from Bank of England governor Mark Carney.
Are US consumers confident about the US economy?
Consumer confidence data for July will provide investors with a fresh opportunity to gauge sentiment concerning US economic activity.
Economists forecast consumer confidence to show a decline for July, falling to 116.5 compared to a reading of 118.9 in June.
The consumer confidence data for July is slated for Tuesday 10am ET, a day before the Federal Reserve’s policy decision.
Ahead of the Fed’s policy decision, the dollar has struggle to hold onto gains falling to 93.82 against it rivals on Tuesday.