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ON MONDAY

The U.S. Treasury Department is scheduled to report the federal budget figures for December. In November, the U.S. government posted a budget deficit of $367 billion.

Johnson & Johnson's chief executive officer Joaquin Duato is expected to present at the ongoing J.P. Morgan healthcare conference in San Francisco.

Cisco Systems defends at trial against allegations that its routers and switches infringe patents owned by Corrigent Corp related to Ethernet switching and routing technology. Corrigent is the successor to defunct networking equipment supplier Orckit-Corrigent.

REST OF THE WEEK

Major banks in the U.S. are slated to report their results next week. On Wednesday, JPMorgan Chase is set to release fourth-quarter and full-year 2024 financial results. It is expected to report a jump in profit driven by strong performance at its Wall Street business units as investment banking recovers from multi-year lows. Analyst and investor focus is on the largest U.S. lender's outlook for 2025 as the U.S. Federal Reserve cuts rates and a new administration under Donald Trump begins its term. On Thursday, the Bank of America is set to report its quarterly results. The second-largest U.S. lender's fourth-quarter profit is expected to rise, thanks to a rebound in dealmaking activity. Investors will watch out for the bank's 2025 forecast and management commentary on the business outlook. Citigroup, on Wednesday, is expected to report a profit in fourth-quarter versus a loss a year earlier as a recovery in dealmaking and share sales drove up investment banking fees. Analysts and investors will focus on the bank's plans for growth after completing its biggest reorganization in decades. On the same day, Wells Fargo is likely to report a fall in fourth-quarter profit, as the fourth-largest U.S. lender pays out more to hold onto customer deposits. The bank's 2025 forecast and the trajectory of interest income will be parsed by investors. Morgan Stanley is expected to join rival banks in benefiting from a recovery in investment banking when it reports fourth-quarter and full-year earnings on Thursday. Analysts and investors will focus on the bank's outlook for dealmaking and IPOs bouncing back meaningfully in 2025. On Wednesday, Goldman Sachs is expected to report a surge in fourth-quarter profit as a rebound in dealmaking and as debt sales strengthen its core investment banking business. Investor and analysts are expected to listen closely for executives' outlook for further recovery amid lower rates and possible easing of the anti-trust environment.

On the U.S. economic front, a slew of data from the Labor Department's Bureau of Labor Statistics are expected that could offer insight into inflation in the country. On Wednesday, the bureau is scheduled to report that consumer price index $(CPI.UK)$ likely rose 0.3% in December, same as the month before. On a yearly basis, CPI is estimated to have increased 2.8%. Meanwhile, rise in Core CPI likely eased to 0.2% in December, after increasing 0.3% in the month before. On Thursday, Census Bureau data is expected to show that retail sales rose 0.5% in December, after an 0.7% increase in November. On Tuesday, a report from the same bureau is expected to show that producer price index $(PPI)$ for final demand edged up 0.3% in December, after a 0.4% advance in the month prior. Rise in the PPI, excluding food and energy components, was probably 0.3% last month, compared with a 0.2% increase in November. Separately, the Labor Department will release weekly jobless claims report on Thursday. Initial claims for unemployment benefits probably jumped 13,000 to 214,000 for the week ending Jan 11. Continued jobless claims for the week ended Jan 4 is also expected. Import and export prices figures for December are also due on the same day. Friday's data from Commerce Department's Census Bureau is likely to show that overall housing starts rose to a seasonally adjusted annual rate of 1.320 million units in December from 1.289 million units in the previous month. Meanwhile, building permits is expected to fall to a rate of 1.461 million units last month from 1.493 million units in November. Additionally, Federal Reserve data on Friday is projected to show that industrial production rose 0.3% in December, after declining 0.1% in the prior month.

On Wednesday, Federal Reserve Bank of Richmond President Thomas Barkin is set to speak at a Maryland Chamber of Commerce event in Annapolis. In a separate event on the same day, Federal Reserve Bank of Chicago President Austan Goolsbee is slated to speak before virtual Wisconsin Bankers Association Midwest Economic Forecast Forum in Chicago. Meanwhile, on the same day, Federal Reserve Bank of Minneapolis President Neel Kashkari is expected to participate in fireside chat before virtual Federal Reserve Bank of Minneapolis 2025 Regional Economic Conditions Conference in Minneapolis. On Tuesday, Federal Reserve Bank of New York President John Williams is likely to give opening remarks before 4th Annual "An Economy That Works for All: Housing Affordability" event in New York. On the next day, he is expected to speak at a Connecticut Business and Industry Association event at Hartford. Separately, on Tuesday, Federal Reserve Bank of Kansas City President Jeffrey Schmid is scheduled to speak on the economic and monetary policy outlook before the Central Exchange, Kansas City.

U.S. Bancorp is likely to report a rise in fourth-quarter profit on Thursday, helped by growth in payment services. On the same day, PNC Financial is expected to report fourth-quarter profit, as it earned more from customer interest payment.

U.S. regional bank Regions Financial is expected to report a higher fourth-quarter profit on Friday, driven by higher dealmaking and debt underwriting fees.

Huntington Bancshares is expected to post a rise in its fourth-quarter profit on Thursday, helped by robust performance in its capital markets unit.

State Street is expected to report a jump in fourth-quarter profit when it reports its quarterly earnings on Friday. A rally in equities is expected to boost the custodian bank's assets under management.

For Canada, a StatsCan report, due on Wednesday, is expected to show that factory sales rose at a slower rate of 0.5% in November, after advancing 2.1% in the month prior. The agency will also release housing starts data for December on Thursday and wholesale trade figures for November on Wednesday.

On Thursday, Bank of Canada deputy governor Toni Gravelle is expected to give a speech on the central bank's balance sheet normalization process and how it will manage its balance sheet once normalization ends.

For Latin America's largest economy, Brazil, IBC-BR index is expected on Thursday, which could offer insight into the country's economic activity in November. Additionally, service sector data for November scheduled on Wednesday and IGP-10 price index for January due on Friday will also be on the radar. Separately, on Tuesday, investors in Argentina will look forward to inflation data for the month of December.

(Compiled by Malini K; Editing by Vijay Kishore)

((Malini.K@thomsonreuters.com;))