Treasury yields flat ahead of Fed chair speech

• Federal Reserve Chair Jerome Powell is expected to speak at 2 p.m. ET Wednesday.
• The U.S. government's 2021 full-year budget plan is due out at 12:30 p.m. ET.

U.S. Treasury yields made little movement on Wednesday morning, with Federal Reserve Chair Jerome Powell expected to make a speech later that day.

The yield on the benchmark 10-year Treasury note stood at 1.157% at 3:55 a.m. ET, while the yield on the 30-year Treasury bond held at 1.947%. Yields move inversely to prices.

Treasurys

Treasury yields remained largely unchanged on Wednesday morning, with Powell expected to speak at 2 p.m. ET that day.

Meanwhile, the core inflation rate for the U.S. in January is expected to be released at 8:30 a.m. ET.

Wholesale inventory data for December is due to be published at 10 a.m. ET.

Weekly EIA stocks change data for crude oil, Cushing crude oil, distillate and gasoline is also set for release at that time.

The U.S. government's 2021 full-year budget plan is due out at 12:30 p.m. ET. The government's monthly budget statement for January is then expected to be released at 2 p.m. ET.

Auctions will be held Wednesday for $25 billion of 105-day bills, $30 billion of 154-day bills and $41 billion of 10-year notes.

The Coca-Cola Company Q4 adjusted earnings Beat Estimates

The Coca-Cola Company (KO) revealed a profit for fourth quarter that dropped from the same period last year.

The company’s bottom line totaled $1.46 billion, or $0.34 per share. This compares with $2.04 billion, or $0.47 per share, in last year’s fourth quarter.

Excluding items, The Coca-Cola Company reported adjusted earnings of $2.02 billion or $0.47 per share for the period.

Analysts had expected the company to earn $0.42 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter fell 5.1% to $8.61 billion from $9.07 billion last year.

The Coca-Cola Company earnings at a glance:

-Earnings (Q4): $2.02 Bln. vs. $1.91 Bln. last year.
-EPS (Q4): $0.47 vs. $0.44 last year.
-Analysts Estimate: $0.42
-Revenue (Q4): $8.61 Bln vs. $9.07 Bln last year.

Teva Pharmaceutical Industries Limited Q4 adjusted earnings Beat Estimates

Teva Pharmaceutical Industries Limited (TEVA) revealed earnings for its fourth quarter that advanced from last year.

The company’s earnings totaled $150 million, or $0.14 per share. This compares with $110 million, or $0.10 per share, in last year’s fourth quarter.

Excluding items, Teva Pharmaceutical Industries Limited reported adjusted earnings of $753 million or $0.68 per share for the period.

Analysts had expected the company to earn $0.63 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter fell 0.4% to $4.45 billion from $4.47 billion last year.

Teva Pharmaceutical Industries Limited earnings at a glance:

-Earnings (Q4): $753 Mln. vs. $683 Mln. last year.
-EPS (Q4): $0.68 vs. $0.62 last year.
-Analysts Estimate: $0.63
-Revenue (Q4): $4.45 Bln vs. $4.47 Bln last year.

Under Armour Guides FY21 Adj. EPS In Line With Estimates – Quick Facts

While reporting financial results for the fourth quarter on Wednesday, Under Armour, Inc. (UA,UAA) initiated earnings, adjusted earnings and revenue growth guidance for the full year 2021, based on current visibility, including ongoing impacts related to COVID-19.

For fiscal 2021, the company now projects a loss in a range of $0.18 to $0.20 per share and adjusted earnings in a range of $0.12 to $0.14 per share on a revenue growth in the high-single-digit percentage.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $0.13 per share on revenue growth of 12.6 percent to $4.87 billion for the year. Analysts’ estimates typically exclude special items.

Further, Under Armour’s Board of Directors has authorized a change in its fiscal year-end from December 31 to March 31, effective for the fiscal year beginning April 1, 2022. Following a three month-transition period (January 1 – March 31, 2022), Under Armour’s fiscal 2023 will run from April 1, 2022, through March 31, 2023. Consequently, there will be no fiscal 2022.

Gold Inches Higher On Dollar Weakness

Gold prices inched higher on Wednesday to hover near a one-week high hit in the previous session as the dollar weakened, U.S. yields held steady and hopes of more U.S. fiscal stimulus boosted the metal’s appeal.

Spot gold rose 0.2 percent to $1,842.24 per ounce, after having hit the highest since Feb. 2 at $1,848.40 on Tuesday. U.S. gold futures were up 0.3 percent at $1,842.95.

The dollar slipped to a near two-week low against rivals ahead of a report on U.S. consumer prices due later in the day, with economists expecting a 0.2 percent rise in core CPI on month.

Meanwhile, Federal Reserve Chairman Jerome Powell is scheduled to speak at a webinar hosted by the Economic Club of New York at 2:00 pm ET.

Market participants expect Powell to reaffirm accommodative monetary policy stance to boost the economy.

On the stimulus front, U.S. President Joe Biden’s $1.9 trillion coronavirus relief bill is expected to pass through Congress despite opposition from Republicans over the aid’s price tag.

Under Armour Inc. Q4 adjusted earnings of $0.12 per share

Below are the earnings highlights for Under Armour Inc. (UAA):

-Earnings: $184.45 million in Q4 vs. -$15.30 million in the same period last year.
-EPS: $0.40 in Q4 vs. -$0.03 in the same period last year.
-Excluding items, Under Armour Inc. reported adjusted earnings of $54.51 million or $0.12 per share for the period.
-Revenue: $1.40 billion in Q4 vs. $1.44 billion in the same period last year.