3 Feb. Week Ahead: Earnings, Labour, BOE Decision & More

Important economic and financial events are set to take place during the week of 3 February, with the release of earnings and jobs data and the Bank of England (BOE) rate decision taking centre stage. 

Here’s what you can expect from the markets and the economy this week:

US Jobs Data 

Arguably one of the most crucial releases, the upcoming US jobs report on Friday, 7 February, can reflect the health of the US economy in January. 

While the results are yet to be determined, economists expect an addition of 154,000 roles, down from the 256,000 in December. On the other hand, unemployment rates remain at 4.1%, similar to the prior month.

The results will provide more insights into the Fed’s possible monetary policy trajectory in the coming months and can also underpin the central bank’s decision last week to keep interest rates the same. (Source: Investopedia)

Earnings Releases

Earnings season will continue in full swing this week, with reports from big names like Amazon (AMZN), Palantir (PLTR), and Alphabet (GOOG) taking place.

Palantir 

PLTR is expected to report earnings today, Monday, 3 February (after the ring of the bell). 

The company's revenue is projected to grow 28% to $776 million, with earnings projected to reach 11 cents, up 39%. US commercial revenue is expected to climb 52% to $199 million, and like many of its tech peers, artificial intelligence (AI) is expected to affect its performance. (Source: Investors.com)

Alphabet

GOOG is set to report earnings on Tuesday, 4 February. Q4 revenue is projected to reach $96.6 billion (an increase of 12% YoY), and EPS to reach $2.12 compared to the year before’s $1.64.

Experts note the company's improving fundamentals, driven by robust ad spending and increasing Google Cloud demand. The company's AI investments will also be closely watched, particularly due to concerns surrounding the rise of the Chinese AI model DeepSeek and its potential impact on US tech companies.

Amazon

AMZN will report earnings on Thursday, 6 February, and is expected to report a YoY increase in earnings based on higher revenues. Quarterly earnings per share (EPS) are expected to come in at $1.52 (a YoY increase of 50.5%), and revenues are expected to land at $187.28 billion (+10.2% increase from the year-ago quarter).

Among the factors that could drive Amazon’s growth are expectations of advertising outperforming analyst projections (especially in Q4 2024).

However, only time will tell how ever tech leaders will actually fare.

More Earnings

Besides the above, traders and investors may want to keep in mind the following releases of the week:

• Tuesday, 4 February: Pfizer, AMD, Pepsico, and UBS.

• Wednesday, 5 February: Novo Nordisk, Alibaba, Walt Disney, Qualcomm, Arm, and Uber.

• Thursday, 6 February: Eli Lilly and AstraZeneca.

What will the reports reveal about these companies’ respective sectors?

BOE Decision

The BOE, England’s central bank,  will release its rate decision on Thursday, 6 February, and is largely projected to cut rates in light of the UK’s economic woes. The cuts are projected to come in at 4.5% from the prior 4.75%. BOA analysts state that “The faster than expected drop in services inflation, weak growth, and labour market loosening supports the case for a cut.

Conclusion

This week is another eventful one for the markets and the global economies as key releases from corporates and central banks are set to take place. 

As such, traders may want to monitor this week’s reports to get a wider overview of the economic landscape as we enter the new year.