8 – 12 Nov | 5 Things That Could Move the Market This Week

The stock market is expected to continue its bullish trend this November, showing “surprising resilience” to inflation, according to analysts. This week, we’re bringing you five news items to watch out for and help you make informed investment decisions.

Will Lemonade disrupt the stock market?

The American company that mixes insurance with artificial intelligence will report its quarterly results on Monday, November 8th. Remember, Lemonade had one of the most spectacular IPOs of 2020, but since then the stock has experienced high volatility.

Analysts believe the company could have strong long-term potential, especially now that Lemonade is expanded into car insurance in some test locations. We’re expecting an 87% increase in revenue compared to the same period last year, totalling $33.4 million.

Streaming to boost Walt Disney?

Despite the reopening of Disneyland parks around the world, Disney stock is still down 5.4% since the start of the year. Perhaps 2021 won’t be a great year for Disney investors.

Nevertheless, the company’s streaming service Disney+ is expected to reach 230-260 million subscribers by 2024. Look out for more updates when Disney reveals its earnings on Wednesday, 10th November.

Will Merck overshadow BioNTech?

You probably recognise the name BioNTech. It’s the German pharmaceutical company that famously created the anti-Covid vaccine with Pfizer. On Wednesday, 10th November, BioNTech will present its third-quarter figures and investors will be watching closely.

Indeed, the leader in Messenger mRNA technology saw its share price fall 34% in September, underperforming the S&P 500. Why? The third dose of the vaccine is currently reserved for those most at risk of Covid-19, which limits wider usage. On top of that, the company faces competition from Merck Group who recently shared encouraging results for their Covid treatment. Merck Group will present its quarterly figures the next day, Thursday 11th November.

Official opening of American borders

On November 8th, vaccinated tourists will once again be able to travel to the United States. When Joe Biden’s government broke the news in September, airline stocks like Delta Airlines, United and Air France-KLM all jumped higher. Will the prices take off again on Monday when the borders are officially reopened?

Focus on the ZEW index

After five consecutive declines, we’ll get another update from the ZEW index on Tuesday, 9th November. The ZEW index gives us an insight into investor sentiment in Germany and is crucial in understanding how investors are feeling about the economic health of the European market.

For that reason, keep your eye on ETFs that include companies from Germany, France and the wider eurozone. For instance, the EU TOP 600 Index ETF (iShares) or the Europe Stoxx 50 Index ETF (iShares) could show some volatility.

Economic and results calendar

Monday – Industrial production in Ireland (September). Quarterly figures from PayPal, Henkel, Tencent Music Entertainment, TripAdvisor, Lemonade, PostNL, Covestro, Vilmorin Cie, Delta Plus Group.

Tuesday – Trade balance in Germany, France and the euro zone (September). Inflation rate in China (October). ZEW Economic Sentiment Index estimate (November). Quarterly figures from BioNTech, Neoen, Rubis, Coinbase, Sysco, Fraport.

Wednesday – Manufacturing production in the Netherlands (September). Industrial production in Italy (September). Inflation rate in Germany (October). ECB meeting. Weekly stocks of oil in the United States. Quarterly figures from Electricité de France (EDF), Pharmagest, Walt Disney, Allianz, Crédit Agricole, Alstom, ABN Amro, Siemens.

Thursday – OPEC’s Monthly Oil Report. Inflation rate in Ireland (October). Quarterly figures from Merck Group, ArcelorMittal, RWE, Aegon.

Friday – Industrial production in the euro zone (September). Inflation rate in Spain (October). Quarterly figures from Deutsche Telekom.

We’ll be back next week with another edition of the BUX Breakdown. In the meantime, have a great week on the markets!

The BUX Breakdown was written by Clémentine Pougnet.

All views, opinions, and analyses in this article should not be read as personal investment advice and individual investors should make their own decisions or seek independent advice. This article has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is considered a marketing communication.