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What to Watch in the Week Ahead and on Monday, Jan. 26

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Week Ahead The markets will have a lot to chew on in the coming week, with a slew of earnings ranging from Apple to Zimmer Holdings and another 140 companies in between. So far earnings have been modest at best, though the recent round of quantitative easing from the European Central Bank has exacerbated some existing trends in the market (lower Treasury yields, a stronger dollar) and those should mostly stay in place. But, with the Federal Reserve decision due in the middle of the week, the market is bound to see some volatility as people start to wonder if the Fed might nod to the deflationary global forces and weak figures of late in manufacturing, or if they stay the course or not.

Apple Inc reports first-quarter results on Tuesday. Apple is expected to report one of its strongest quarters ever, helped by strong unit sales of its big-screened iPhone 6 and 6 Plus. The new iPhones are helping Apple chip away at Samsung Electronics' dominant position in its home turf of South Korea, according to a monthly report released by Hong Kong-based market research company Counterpoint. November was the first full month that the larger-screen iPhones were sold in the country. Some analysts speculate that Apple, which gets more than half its revenue from outside the United States, will feel the weight of a surging dollar on its results.

On Thursday, Google results fourth-quarter results. Google is facing a variety of challenges as it begins 2015: a wave of turnover in its executive ranks, growing regulatory entanglements in Europe and ongoing erosion in its ad prices due to the shift from PCs to mobile devices. With CEO Larry Page having recently announced his intention to focus less on day-to-day operations, investors will be eager for the company to lay out its plan for keeping its advertising business growing and fending off various regulatory and competitive threats.

Facebook releases fourth-quarter earnings on Wednesday. Facebook's stock soared in 2014 as the company's mobile ad revenue exploded. But there are signs that revenue growth may slow in the coming quarters, and the social media company has warned that spending will rise in 2015 as it embarks on a hiring spree and invests in other businesses. Other businesses like Instagram and WhatsApp will be in the spotlight when Facebook reports results, as investors look for signs that Facebook has some new legs of growth.

Alibaba Group Holding Ltd reports third-quarter results on Thursday. The Chinese e-commerce juggernaut is expected to report profit above estimates, according to Thomson Reuters StarMine. The company, co-founded by billionaire Jack Ma, is planning a major move to win U.S. business this year, by offering American retailers new ways to sell to China's vast and growing middle class. Analysts will be scrutinizing how the company has spent its money to keep its edge on its competitive home turf.

Next week's data-heavy calendar will likely paint an upbeat picture of the economy at the end of 2014 and confirm momentum in the near-term. The Commerce Department's durable goods orders report on Tuesday is expected to show orders rose 0.5 percent in December after falling 0.9 percent in November. Core capital goods orders are expected to have risen 0.5 percent last month after declining 0.5 percent in November. Commerce Department data also on Tuesday is expected to show new home sales increased in December to 450,000 unit from 438,000 units in November. The Conference Board is expected to report that its consumer confidence index rose to 95 in January from 92.6 in December. The Commerce Department's advance fourth-quarter GDP report on Friday is expected to show the economy expanded at a 3 percent annual pace after the third quarter's robust 5 percent rate. Also on Friday, the Labor Department is expected to report that its employment cost index, the broadest measure of labor costs, increased 0.6 percent in the fourth quarter, building on the third quarter's 0.7 percent rise. Later on Friday, the University of Michigan is expected to report that its consumer sentiment index held steady at 91.5 in January.

AT&T Inc reports fourth-quarter results on Tuesday. The telecom company's quarterly profit is expected to miss analysts' estimate, according to Thomson Reuters StarMine. AT&T's plan to allow its customers to bring their own devices gained popularity, but worried analysts that it may lead to less customer loyalty. Increasing competition in a saturating U.S. wireless market drove wireless carriers to dump two-year contract plan and replace them with equipment financing plans.

Visa Inc releases first-quarter results on Thursday. MasterCard is expected to post fourth-quarter profit on Friday. The world's two largest credit and debit card companies are expected to post bigger quarterly profits as they benefits from a rise in consumer sales during the holiday period and falling gas prices which also helped boost consumer spending. However, their growth in the United States, its largest market, may be hampered by the strong U.S. dollar though the volatility in foreign exchange rates is expected to boost their cross-border volumes.

Federal Open Market Committee begins a two-day meeting on interest rate policy on Tuesday followed by decision on Wednesday. On Thursday, Federal Reserve Board Governor Daniel Tarullo speaks on "Advancing Macroprudential Policy Objectives" before the Office of Financial Research and Financial Stability Oversight Council 4th Annual Conference in Fairfax. The speech comes as the Fed ramps up its internal efforts toward building up its own financial stability operation, a controversial subject given the complexity of trying to deflate an asset bubble before it pops. It also comes as the Fed has increasingly voiced concern that the FSOC will be unable to move quickly or effectively to act ahead of the next crisis.

Ford Motor will report fourth-quarter earnings on Thursday. The automaker warned recently that a charge related to its Venezuelan operations will reduce the profit by about $700 million. The company's December sales were up just 1.2 percent, missing expectations.

Yahoo reports fourth-quarter results on Tuesday. CEO Marissa Mayer is set to outline the company's plans for the 15 percent stake in Chinese ecommerce giant Alibaba. Investors are pressuring Yahoo to sell the stake, worth nearly $37 billion, in a tax-efficient manner and to return the money to shareholders. But Yahoo, which is struggling to turn around its core business, may want to use some of the proceeds for acquisitions. The company's highly-anticipated plans for the Alibaba stake could set the stage for a confrontation with shareholders and put Mayer's future at the company at risk.

Procter & Gamble reports second-quarter results on Tuesday. The consumer goods giant will report earnings before the stock market opens.

Pfizer reports fourth-quarter results on Tuesday. Wall Street expects the largest U.S. drugmaker by sales, to report higher quarterly results, helped by sales of new cancer treatments and growing sales of mainstay brands such as Lyrica for pain and its Prevnar vaccine against pneumococcal infections. Bristol-Myers is also reporting fourth-quarter results on the same day. The U.S. drugmaker is expected to report lower quarterly sales and earnings, amid declining sales of its treatments for HIV and the loss of diabetes drugs that it sold off earlier in the year to AstraZeneca Plc.

Boeing reports fourth-quarter earnings on Wednesday. Boeing recently reported that it delivered a record 723 jetliners in 2014, comfortably hitting its target of 715-725. Investors will focus on how much cash was generated, the outlook for 2015 and whether the cost of producing the 787 has stabilized. Boeing's defense business, meanwhile, is trying to trim $2 billion in costs.

On Tuesday, U.S. conglomerate United Technologies reports fourth-quarter results, the company's first quarterly report since new CEO Greg Hayes was elevated from finance chief in November. The manufacturer of jet engines, helicopters and elevators is expected to post a 2 percent climb in revenue. Aside from results, investors will be eager to hear more about Hayes' plans as he has shaken up management ranks and vowed to get more aggressive on deals.

DuPont is expected to report a higher fourth-quarter profit on Tuesday. The chemical company's earnings are expected to benefit from a rise in operating margins in most of its businesses. The focus this quarter will be on the company's response to activist investor Nelson Peltz's call to break up the conglomerate. Peltz, who nominated himself and three other members from his Trian Fund to DuPont's board earlier this month, has been stepping up pressure on the company to break up. DuPont has insisted that it is more beneficial to keep all its businesses together, but with a proxy fight for the board underway, the company could look to strike a compromise. DuPont has already announced plans to spin off of its performance chemicals business and it expects to record a related $315 million charge this quarter. Investors will be on the lookout for details about the spin-off and the subsequent listing.

Qualcomm releases first-quarter results on Wednesday. The chipmaker's report comes as Wall Street waits for it to resolve anti-trust investigation with regulators in China, its top growth market. For years, Qualcomm executives touted the rollout of LTE cellphone technology in China as a major growth opportunity but the company's outlook there has been clouded as investors worry it will be forced to make major concessions on its cash-producing royalty business.

Amgen is expected to report higher fourth-quarter profit on Tuesday and provide its first forecast for 2015. Investors will be looking for any new color on the ongoing restructuring at the world's largest biotechnology company. Also in focus will be any new insight into the potential impact of the approval of the first U.S. biosimilar of the company's drug Neupogen and also how foreign exchange rates will influence 2015 earnings.

On Thursday, Amazon.com Inc will report fourth-quarter results. Amazon is expected to report another quarter of skimpy margins as its investments in China, cloud computing, video content and logistics trumps sales growth. The stronger U.S. dollar could also pinch earnings. RBC Capital Markets predicts that Amazon's operating margins will eventually rise to almost 5 percent by 2016 from nonexistent in the third quarter. About one percentage point of that increase will be due to the hike in Prime membership fees to $99 from $79 last spring.

Viacom Inc releases first-quarter results on Thursday. Viacom, which owns the Paramount movie studio and cable network MTV and Comedy Central, is expected to report quarterly revenue above estimates, according to Thomson Reuters StarMine, driven by the success of blockbuster movie releases. Paramount Pictures is seeing the possibility of a new profitable franchise with the success of its movie "Teenage Mutant Ninja Turtles". The Christopher Nolan- directed space saga "Interstellar" is also expected to have boosted revenue.

Time Warner Cable Inc reports fourth-quarter results on Thursday. The No. 2 U.S. cable TV operator is expected to post revenue marginally below expectations, according to Thomson Reuters StarMine. The company has been losing more video subscribers, who prefer internet streaming services offered by companies such as Netflix. Analysts are looking for video subscription numbers for the quarter and any news from its pending acquisition by Comcast Corp.

Dow Chemical reports fourth-quarter results on Thursday. The chemical company is expected to report a higher quarterly profit as its plastics business continues to benefit from low raw material costs. The focus this quarter will be on the company's plans to raise $7.5-$8.0 billion from the sale of its low-margin assets by mid-2016. The company averted a proxy fight with Dan Loeb's hedge fund, Third Point LLC, last November by agreeing to add four independent directors to its board. Loeb had been pushing Dow to spin off its lucrative but slow-growing petrochemical business and focus on specialty materials. However, Dow has maintained that keeping its units together helps lower costs. Analysts will want to know how low oil prices will affect the company's integrated structure. U.S. chemical companies, unlike European ones, use natural gas as a feedstock, rather than oil. Falling oil prices, however, may now erode that advantage over European competitors.

Eli Lilly & Co reports fourth-quarter results on Friday. The company's sales and earnings have been battered over the past three years due to patent expirations on its biggest medicines. However, it is expected to have started turning the corner in the quarter, with relatively flat earnings. As its painful patent cliff begins to fade away, investors will want details on progress of experimental drugs, including treatments for diabetes and cancer, needed to drive growth in coming years.

Abbvie Inc reports fourth-quarter results on Friday. The global research based pharmaceuticals company, which in October backed away from its planned $55 billion purchase of Irish drugmaker Shire, is expected to report higher quarterly earnings as strong sales of arthritis treatment Humira help offset declining sales of heart medicines. The big focus on earnings day will be Viekira Pak, the company's newly approved treatment for hepatitis C, and what marketing strategy is needed to maximize its sales in the face of competition with products from market leader Gilead.

Biogen Idec reports fourth-quarter results on Wednesday. Biogen will release earnings as well as put out information on the launch of its new hemophilia drugs and data showing whether sales of its high profile multiple sclerosis drug Tecfidera are still growing fast or beginning to level off. The company will also likely provide first forecasts for 2015 with potential insight into the expected impact of foreign exchange rates on 2015 results.

Abbott Laboratories posts fourth-quarter results on Thursday. The pharmaceuticals and healthcare products maker is expected to report higher quarterly earnings, helped by the re-introduction in China and Vietnam of pediatric milk formula brands that had been recalled in 2013 due to contamination fears. Investors will want details on how Abbott can further bolster its nutritional products, including its Similac infant formula and Ensure beverages for adults, and whether it may make acquisitions of medical devices to improve its other major business.

Diversified manufacturer 3M reports fourth-quarter results on Tuesday, with revenue expected to rise by about 3 percent. Investors will be looking at the extent of the fallout from the strong dollar, given that 3M derives more than 60 percent of its sales from outside the United States.

Xerox Corp also reports fourth-quarter results on Friday. The maker of printers and copiers is expected to report revenue below estimates, according to Thomson Reuters StarMine. The company had recently agreed to sell its information technology outsourcing arm to French IT services firm Atos to focus on faster growing units such as business process outsourcing and document outsourcing.

Corning Inc is expected to post fourth-quarter results on Tuesday. The specialty glass maker is expected to post revenue marginally above expectations, according to Thomson Reuters StarMine, due to increased demand for its Gorilla Glass. As there were no major mobile launches, the company had expected its core sales in its specialty materials business to decline in the quarter. Analysts are looking for the company to provide outlook for its cover glass business. UBS analyst Amitabh Passi sees incremental upside if the company undertakes strategic alternatives such as the divestment/consolidation of Dow Corning.

General Dynamics also reports fourth-quarter results on Wednesday. The defense supplier is counting on its aerospace business to boost profit as defense spending remains tight. The company, which makes Gulfstream business jets along with ships and tanks, said in October it expected "very strong" orders in the quarter after the introduction of two new aircraft. Investors will be looking for an update on expectations for sales to the U.S. military this year, as well as demand from international markets, which make up nearly a fifth of total revenue.

Hershey Co reports fourth-quarter results on Thursday. The chocolate maker cut its full-year earnings and revenue growth forecasts in October, citing higher dairy prices, a stronger dollar and weak sales growth in some markets. North American cocoa grindings, an indicator of demand for chocolate's key ingredient, fell 1.95 percent in the quarter, its first drop in two years, indicating that higher chocolate prices could be hurting demand. Hershey hiked chocolate prices in July for the first time in three years, in response to soaring cocoa and dairy prices.

Valero and Phillips 66 report fourth-quarter results on Thursday. The two U.S. refiners are likely to post better-than-expected quarterly profits, according to Thomson Reuters StarMine, helped by higher refining margins and gasoline demand. Investors will be looking for any commentary on the impact of the fall in crude oil prices and narrowing of WTI-Brent differential on the refiners' exports and margins.

Broadcom posts fourth-quarter results on Thursday, as the mobile chipmaker refocuses on chips for networking and Wi-Fi after shuttering its money-losing cellphone baseband chip business last year. Investors expect mostly flat revenue for the quarter but a handsome increase in profitability thanks to less R&D spending on advanced baseband technology.

Lockheed Martin will report fourth-quarter results on Tuesday. Pentagon's No. 1 supplier is expected to post higher earnings and revenue despite pressures on U.S. defense spending, as sales to commercial customers in United States as well as international governments picked up. Lockheed gets 17 percent of its revenue from international markets and 1 percent from U.S. commercial customers.

Raytheon reports fourth-quarter results on Thursday. The U.S. weapons maker is expected to report higher fourth-quarter sales and profit despite increased pressure on U.S. defense spending.

Northrop Grumman reports fourth-quarter results on Thursday. The aerospace and defense technology company is expected to report higher quarterly earnings, despite a drop in revenue, reflecting large scale share buybacks and cuts in overhead costs.

Rogers Communications reports fourth-quarter earnings on Thursday. Canada's largest mobile network operator has fallen behind its biggest rivals in increasing subscribers recently, and has used promotional pricing to hold onto cable customers. The Toronto-based company has spent heavily to launch its coverage of National Hockey League games and recently launched in on-demand video service in partnership with western Canada's Shaw Communications.

Electronic Arts Inc reports third-quarter results on Tuesday. The video game publisher is expected to report profit above estimates, according to Thomson Reuters StarMine, as the company focuses more on its big selling titles such as "FIFA". The company might see a revenue fall after the smash success of "Battlefield 4" a year earlier. The video games developer has been making a push to freemium model, where games are free to download and revenue is generated through in-game purchases. Analysts believe that EA's mobile growth can soon outpace the already rapidly growing mobile market.

On Tuesday, Western Digital reports its second-quarter results. The hard-disk drive maker is expected to report profit and revenue above analysts' estimates, according to Thomson Reuters StarMine, benefiting from businesses upgrading computers and higher demand for storage used in servers and data centers. An improving PC market is also expected to help the company. Investors will look out for updates on the company's full-year outlook.

Textron reports fourth-quarter results on Wednesday. The company has benefited from strong demand for its Cessna and Beechcraft jets as businesses increase spending in a recovering U.S. economy. Textron raised its forecast for full-year earnings in October, citing more demand for aircrafts than available to sell. The company, which also makes Bell helicopters and EZ-Go golf carts, has said it expects most of the demand to be for its new models, scheduled to be launched in 2015 and 2016. Investors will be looking for its initial forecast for this year.

Canadian National Railway reports fourth-quarter results on Tuesday. The Canadian company may be asked about the impact of lower oil prices on its crude by rail business, and about how its operations are running after last year's serious congestion problems. The company is expected to report a rise in earnings and revenue.

Rockwell Automation reports first-quarter results on Wednesday. The company, which makes automation systems that help factories run smoothly, is expected to report higher profit helped by an improving U.S. consumer products (food and beverage, home and personal care) and transportation industries. Both the consumer products and transportation industries, which contribute about 30 and 15 percent to company's annual revenue respectively, are expected to do well in 2015 as the jobs situation brightens and consumer spending accelerates. Investors will look out for an update on 2015 outlook for the company's oil and gas unit, which is about 12 percent of annual revenues, and comments on how a strong dollar will impact international operations, which contribute about 49 percent of sales.

American Airlines reports fourth-quarter results on Tuesday. While analysts were mildly disappointed with the company's lower-than-expected guidance for unit revenue in the fourth quarter, they expect bullish guidance for 2015, thanks to the plummeting price of oil. The largest U.S. airline by passenger traffic has participated in the full price drop because it does not hedge its fuel consumption.

Coach Inc will report second-quarter results before the bell on Tuesday. The accessories retailer, known for its poppy handbags, has struggled to keep up with competitors, particularly Kate Spade & Co and Michael Kors Holdings Ltd, in the its affordable luxury segment. The company said this month it would buy women's luxury shoe company Stuart Weitzman Holdings for about $574 million in an attempt to better compete with its fast-growing rivals.

CGI Group reports first quarter results on Wednesday. The Montreal-based company is expected to eke out profit growth on flat revenue as it further improves margins at its Logica business. Bookings in the U.S. are still expected to lag, several quarters after losing the contract to manage the U.S. healthcare plan, Obamacare. Investors will be eager to hear whether the company has found any acquisition targets, which it said late last year was one of the paths for further growth.

VMware Inc releases fourth-quarter results on Tuesday. The virtualization software maker is likely to report profit above estimates, according to Thomson Reuters StarMine. The company is expected to benefit from new license sales and contract renewals. Activist investor Elliot Management, which has been pushing parent EMC Corp to spin off VMware since October, reached a standstill agreement with EMC this month, easing pressure on EMC until September. Investors will look forward to commentary from VMware on spin-off prospects and growth outlook. Separately, EMC Corp reports fourth-quarter earnings on Wednesday before markets open.

Asset manager Invesco Ltd is scheduled to report fourth-quarter results on Thursday. Analysts expect the money manager to earn 62 cents a share, up from 58 cents a share a year ago. Atlanta, Georgia-based Invesco oversees PowerShares, the fourth-largest provider of exchange-traded funds.

JetBlue Airways reports fourth-quarter results on Thursday. Change is on the horizon for the company, which will have a new CEO in February. The company is already transforming products, following a December announcement that the carrier will charge fees for low-fare customers' first checked bags for the first time, in line with industry practices. The New York-based passenger airlines will provide guidance for the coming year, giving investors a first look at how the airline is handling the start of these transitions.

Potash Corp of Saskatchewan reports fourth-quarter results and gives guidance for 2015 earnings on Thursday. Analysts expect the world's biggest fertilizer company to report a more profitable quarter and year ahead. Of interest are further developments in new CEO Jochen Tilk's review of phosphate operations and the Canadian based company's equity stakes in fertilizer companies Sinofert, SQM, Israel Chemical and Arab Potash Company.

CONSOL Energy Inc reports fourth-quarter results on Friday. Weakening coal and oil prices are likely to have led to a lower quarterly profit. CONSOL, which also faces increasing regulatory pressures in the North American coal market, switched its focus to oil and gas exploration and production last year in an attempt to protect itself from lower coal prices. Capital expenditure guidance for the year is likely to be the key focus as oil and gas companies continue to lower budgets. Investors will also keep an eye out for an updated timeline for the proposed initial public offering of CONSOL's thermal coal business.

On Friday, Franklin Resources announces first-quarter results. Investors will focus on flow data and how net withdrawals from the fund run by star manager Michael Hasenstab last year may hit the bottom line of the company, known for its heavy exposure to developing markets including Ukraine and Africa.

Juniper Networks Inc reports fourth-quarter results on Tuesday. The network gear maker is expected to post revenue marginally above expectations, according to Thomson Reuters StarMine, due to on increased Web 2.0 customers and cable offerings. However, analysts expect to see weakness in routing, switching and security in the quarter and the first half of 2015 due to lower spending by service providers in U.S. Lexmark International Inc reports fourth-quarter results on Tuesday. The printer maker is expected to report profit slightly below estimates, according to Thomson Reuters StarMine. Analysts anticipate currency pressure to have affected operating profit by about 20-25 percent and expect to see cost reductions to offset that.

Peabody Energy Corp reports fourth-quarter results on Tuesday. The coal miner is expected to report a bigger quarterly loss hurt by tepid demand in an over supplied U.S. coal market. Coal producers have long been struggling with weak demand and a rail jam in the U.S. prohibiting their efforts to ride on a recovery in thermal coal demand. Investors will look for comments on the company's cost cutting efforts as they expect Peabody to save from falling oil prices and a weaker Australian dollar. The company gets about 40 percent of its revenue from Australia. Investors will also look for more color around Peabody Energy and Glencore's joint venture at two neighboring mines in Australia's Hunter Valley in November in an effort to slash costs.

Harman International Industries Inc reports second quarter results on Thursday. The audio product maker is expected to report profit above estimates, according to Thomson Reuters StarMine, as strong U.S. auto sales in December are expected to have driven demand for car audio products. Harman, home to brands such as JBL, Mark Levinson and Harman Kardon, had earlier reaffirmed its full-year forecast, as automakers' U.S. sales rose due to falling gas prices. The company, which recently bought two privately-held software firms, is trying to make a push towards creating the "connected car", where technology connects everything through the Internet.

On Thursday, Royal Caribbean Cruises, the world's second-largest cruise operator, reports fourth-quarter results. They are expected to beat analysts estimates, according to Thomson Reuters StarMine. The company forecast full-year profit below analysts' estimates in October due to stiff competition in the Caribbean, its biggest market, and a stronger dollar. It is however expected to show stronger growth in 2015 as pricing issues in the Caribbean are expected to ease after April.

Shake Shack Inc, a burger chain that grew out of a hot dog stand in New York's Madison Square Park, is expected to raise up to $80 million its initial public offering on Friday. The company's offering of 5 million class A shares is expected to be priced between $14-$16 per share, valuing the company at up to $568 million. The IPO follows a string of successful debuts by casual dining chains last year, including Habit Restaurants Inc, El Pollo Loco Holdings Inc and Zoe's Kitchen Inc. Shake Shack has developed a cult following since it was founded by restaurateur Daniel Meyer in 2001.

Semiconductor maker Applied Micro Circuits' third-quarter report on Tuesday will likely include an update on its progress selling new low-power server chips. The company is one of a handful expected in the next year to use technology adapted from smartphones to challenge Intel's dominance of the data center.

PerkinElmer reports fourth-quarter results on Thursday. The scientific instruments maker is expected to report higher quarterly sales and profit and provide its first forecast for 2015, including the projected impact of the strong dollar on overseas sales.

On Tuesday, Mexico releases economic activity data which will reveal how growth fared in November. Trade balance data out the same day will show how factory exports behaved in December, after posting their biggest decline in nearly two years the prior month. Analysts expect Mexican central bankers to keep rates on hold at a record low of 3 percent on Thursday, Mexico's first interest rate decision of the year and its first in the 1 pm Thursday time slot. On Friday, the finance ministry will reveal the fiscal balance for December.

Monday, January 26 Microsoft reports second-quarter results after markets close. Microsoft posts earnings after the traditionally lucrative holiday season, with investors expecting higher revenue, boosted by Xbox and phone sales, but lower overall profit due to the shift of Office and other services to the capital-intensive cloud, which tends to eat away at margins. Meanwhile, its core Windows business continues to stagnate amid lackluster PC sales.

D.R. Horton reports first-quarter results before markets open. The largest U.S. homebuilder is expected to post a lower quarterly profit, hurt by rising labor and construction costs and increased incentives in certain markets. Homebuilders have had to offer higher incentives in some markets as demand remained constrained by conservative lending standards by banks during the period. D.R. Horton, like competitor Lennar Corp, is likely to forecast lower margins for 2015, as falling oil prices hurt the Texas economy, which is among its biggest markets.

Seagate Technology reports fourth-quarter results. The hard-disk drive maker's revenue is expected to be in line with analysts' estimates, according to Thomson Reuters StarMine. However, analysts see an upside in first-quarter as demand increased for its personal computers and cloud storage products. Enterprise category, comprising Seagate's cloud business, is expected to be positive in the first half of 2015.

Texas Instruments posts fourth-quarter results after markets close. Many investors believe a short-term industry correction in demand for chips late last year has passed and will look for confirmation from Texas Instruments, which makes chips for a broad range of markets.

Brazil's central bank releases Focus market survey results for prior week. The weekly economic survey with more than 100 financial institutions includes forecasts for gross domestic product, interest rates and inflation rates. Separately, Mexico will release retail sales data for November, following two months of declines. (0900/1400) (Compiled By Astha Rawat in Bengaluru; Editing by Savio D'Souza)