Wall Street is heading into one of the busiest weeks of the young year, with 35 S&P 500 companies set to report quarterly earnings and several major economic releases scheduled—all packed into just four trading days due to the Martin Luther King Jr. Day holiday on Monday.

The condensed schedule comes at a pivotal moment for markets. The S&P 500 is within striking distance of the psychologically significant 7,000 level, corporate earnings have been beating expectations at an impressive 79% clip, and investors are closely watching for any signals on the Federal Reserve's rate path following mixed inflation data.

Monday: Markets Closed

US stock and bond markets will be closed Monday, January 19, in observance of Martin Luther King Jr. Day. Regular trading resumes Tuesday at 9:30 a.m. Eastern.

Tuesday: Earnings Deluge Begins

The earnings calendar kicks off aggressively on Tuesday with several notable reports:

  • Netflix (NFLX) reports after the close, with analysts expecting EPS of $4.18 on revenue of $10.05 billion. The streaming giant's subscriber additions and advertising tier performance will be closely watched.
  • United Airlines (UAL) reports after the bell, with consensus at $2.97 EPS and $15.35 billion in revenue. The airline's guidance for 2026 travel demand will be a key focus.
  • Fastenal (FAST) reports before the open, expected to show $0.26 EPS on $2.05 billion in revenue.
  • Charles Schwab (SCHW) reports before the open, with analysts looking for continued strength in asset gathering.

Wednesday: Banks and Bellwethers

Wednesday brings a wave of financial sector reports alongside major consumer companies:

  • Johnson & Johnson (JNJ) kicks off healthcare earnings, with analysts watching for updates on the company's pharmaceutical pipeline and medical device business.
  • Procter & Gamble (PG) will provide a read on consumer staples demand and pricing power amid persistent inflation concerns.
  • Citizens Financial Group (CFG) reports before the open, having set an ambitious 30% earnings growth target for 2026.
  • Truist Financial (TFC) reports with analysts expecting EPS of $1.09 on revenue of $5.27 billion.
  • Halliburton (HAL) will offer insights into oil services demand as energy prices fluctuate.

Thursday: Tech and More Financials

Thursday's calendar includes:

  • GE Aerospace reports with investors focused on commercial aviation demand
  • American Airlines (AAL) provides another datapoint on travel sector health
  • Union Pacific (UNP) offers insights into freight and economic activity
  • Texas Instruments (TXN) reports, with semiconductor guidance closely watched

Friday: SLB Caps the Week

SLB (formerly Schlumberger) reports before the open Friday, with analysts expecting EPS of $0.74—down 19.6% from the prior year—as the oilfield services giant contends with softer North American drilling activity.

Economic Calendar Highlights

Beyond earnings, several major economic releases will demand attention:

Wednesday, January 22: The week's most anticipated data point arrives with the release of the Personal Consumption Expenditures (PCE) price index for December. The core PCE, the Fed's preferred inflation measure, is expected to show year-over-year inflation of 2.8%. Any upside surprise could prompt markets to further reduce rate cut expectations for 2026.

Friday, January 24: S&P Global releases its preliminary Purchasing Managers' Index readings for January, providing the first major read on business activity in the new year.

Earnings Season Progress Report

With earnings season now underway, the results so far have been encouraging. According to FactSet, 79% of S&P 500 companies that have reported have beaten earnings estimates—above the five-year average of 78% and the ten-year average of 76%.

In aggregate, companies are reporting earnings 5.8% above estimates. The blended earnings growth rate for Q4 is currently 8.2%, which would mark the tenth consecutive quarter of year-over-year earnings growth if it holds.

"The earnings beats are encouraging, but it's worth noting that much of the strength is concentrated in a few sectors. Information Technology and Financials are doing the heavy lifting."

— John Butters, Senior Earnings Analyst at FactSet

Market Positioning

Heading into the week, market breadth looks constructive with 70% of S&P 500 stocks above their respective 50-day moving averages and 67% above their 200-day. Sector breadth shows materials, industrials, communications, and financials outperforming year to date.

The forward 12-month price-to-earnings ratio for the S&P 500 stands at 22.2—above the five-year average of 20.0 and the ten-year average of 18.8—suggesting stocks are priced for continued earnings growth.

For investors, the week ahead represents a critical test of whether corporate America can continue to deliver results that justify those elevated valuations. With 35 S&P 500 components reporting and the PCE release looming, there's no shortage of catalysts to move markets in either direction.