Central bank decisions from Canada to the U.S., Europe, and the U.K. are set to converge with a flurry of earnings reports from major technology firms. The intertwined themes of inflation, economic growth, and artificial intelligence are expected to drive heightened market volatility.
Wednesday 21:45 – Bank of Canada Interest Rate Decision The Bank of Canada is anticipated to hold interest rates steady for the fourth consecutive meeting. Policymakers will closely monitor the impact of rising energy costs on inflation. The central bank will also release updated economic projections, which are expected to align with other major banks by forecasting higher inflation and lower growth.
A press conference by the Governor and Deputy Governor will follow to explain the policy decision. Markets currently project a rate hike from the Bank of Canada in the fourth quarter of 2026, making any changes in language hinting at an earlier or later timeline a key focus.
Wednesday 22:00 – U.S. Senate Panel Vote The Senate Banking Committee will vote on whether to advance the nomination of a new Federal Reserve Chair to the full Senate. A positive vote would increase the likelihood of the nominee assuming the role before Chair Powell's term ends on May 15th and potentially presiding over the Fed's June policy meeting.
Confirmation of the nominee ultimately requires a vote by the full Senate.
Thursday 02:00 – Federal Reserve Interest Rate Decision Market expectations for the Fed to maintain the current interest rate stand near 100%. The accompanying statement may feature minor adjustments, such as a revised description of the labor market or the removal of the word "additional" from the phrase referencing the "timing and magnitude of any future adjustments," as it implies a dovish bias.
Thursday 02:30 – Powell's Press Conference This could be Chair Powell's final monetary policy press conference, making his wording particularly significant. Emphasizing downside risks to growth or suggesting oil price shocks are temporary would be seen as a dovish surprise. Conversely, focusing on inflation expectations or hinting that energy price gains could delay policy easing would be interpreted as a hawkish surprise.
Given the potential leadership change in May, Powell is likely to avoid signaling any clear next steps.
Thursday 04:00 Onwards – U.S. Tech Giant Earnings and Calls 1. Alphabet: The market expects revenue of $92.2 billion and EPS of $2.64, representing year-over-year growth of 20.6% and 6.1%, respectively. Focus will be on whether the company can sustain its recent strong operational performance, particularly in Google Cloud, core search, and margins. Competition in AI is reshaping how users access information online, putting the core search business in the spotlight.
2. Microsoft: Analysts anticipate revenue of $81.4 billion and EPS of $4.07, reflecting growth of 17.6% and 16.2% year-over-year. A demonstration of stronger growth momentum in the Azure business could lead to a reassessment of the stock's valuation. The level of AI commercialization is also a key watchpoint, as continued investment in AI infrastructure may pressure short-term profitability.
3. Amazon.com: Market consensus points to net sales of $177.23 billion and EPS of $1.62. Revenue from AWS will be a critical metric, with Wall Street keen to see if investments in AI are yielding returns.
4. Meta Platforms, Inc.: Strong advertising growth and improved operational efficiency are expected to drive robust earnings. However, market attention is shifting back to expenditure, particularly spending on AI and Reality Labs.
Thursday 19:00 – Bank of England Interest Rate Decision The Bank of England is widely expected to keep rates unchanged for the fourth time, likely by an 8-1 vote. The degree of dissent on the committee will influence market sentiment. The bank will also publish a Monetary Policy Report, expected to feature raised inflation forecasts and lowered growth projections. Governor Bailey will hold a subsequent press conference.
Thursday 20:15 – European Central Bank Interest Rate Decision The ECB is forecast to maintain interest rates for the eighth consecutive meeting, having recently reduced the urgency for immediate policy tightening. President Lagarde's following press conference will be scrutinized; increased use of terms like "vigilant" and "flexible" could open the door wider for a rate cut in June. Money markets currently price in three 25-basis-point rate cuts from the ECB this year, beginning as early as June.
Friday 04:00 Onwards – Apple Earnings and Call The market expects revenue of $109.66 billion and EPS of $1.95, indicating year-over-year growth of 15% and 18%, respectively. Buoyed by a record-breaking first quarter and an ongoing iPhone 17 upgrade cycle, Wall Street anticipates another quarter of record results for Apple. Key topics for the earnings call will include iPhone and other product performance, margins in the Services division, AI technology and outlook, and the CEO transition.
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