Corporate Earnings Announcement
One important thing that may cause stocks to move is the time of year when companies report their earnings. Companies that trade on the stock market are required to report their earnings every three months. These reports are sometimes called "quarterly earnings numbers." During a statement of earnings.
The company gives information on a range of operational tasks, such as
Revenue growth
Expense trend
Finance charges
Profitability trends
Project updates
Key trends in the industry
When a business reports its earnings every three months, people in the market compare them to what they think the company should have earned. The "street expectation" is what people in the market think will happen.
If the company's earnings are better than what people on the street thought they would be, the stock price will go up. If the real numbers are lower than what people on the street thought they would be, the stock price will go down.
Stock prices tend to trade flat with a negative bias most of the time if the real numbers match what people thought they would be. This is mostly because the business couldn't come up with any good shocks.
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Table of Contents : Market Movers: Exploring Key Events and Their Influence on Markets 1. Exploring Key Events and Trends 2. Monetary Policy(Tool Through Which Controls the Money Supply) 3. Inflation(the purchasing power of money) 4. Index of Industrial Production (IIP) 5. Purchasing Managers Index (PMI) 6. Budget - an Event of Ministry of Finance |
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