Tech giants to face congressional questions.þþSome of the world’s internet heavyweights will make their first public appearances before lawmakers investigating the role their sites played in Russia’s interference in the 2016 election. Beginning Tuesday, the top lawyers for Facebook, Google and Twitter will appear in three consecutive hearings. On Tuesday afternoon, the Judiciary Committee’s Subcommittee on Crime and Terrorism will hold a hearing on how social media networks have been used to promote terrorism or radicalization and may address a bill proposing that websites disclose who paid for political ads they carry. Wednesday is the main event, starting with a 9:30 a.m. hearing by the Senate Intelligence Committee and then a 2 p.m. hearing by the House Permanent Select Committee on Intelligence. Those hearings will be focused on misinformation and fake accounts linked to Russia that were used to purchase ads during the election. Cecilia KangþþECONOMYþþEurozone economy bouncing back.þþThe renaissance of the eurozone economy is expected to be confirmed on Tuesday when the European Union statistics agency publishes an initial estimate of economic growth. Analysts forecast that the economy of the 19 countries in the eurozone grew 0.5 percent from July through September compared with the previous three months, as countries like Spain bounce back after almost a decade of malaise. Confidence in the eurozone’s prospects has prompted the European Central Bank to begin dismantling the emergency stimulus it has been providing, but there are still trouble spots, like Italy, where banks are weak and growth is meager. Jack EwingþþGovernment to release data on employee earnings.þþThe Bureau of Labor Statistics will release data Tuesday on the Employment Cost Index for the third quarter. The report is less well-known than other measures of wages and earnings, but is preferred by many economists for its methodological sophistication and because it accounts for the cost of employee benefits. Economists will be looking for evidence that low unemployment is at last translating into faster wage growth for workers; the last report, in July, showed wages rising but more slowly than before the 2008-9 recession. Ben CasselmanþþBANKINGþþEuropean banks report earnings.þþMore of Europe’s largest lenders will report their results for the third quarter. Credit Suisse, the British banks HSBC and Standard Chartered and the French banks BNP Paribas and Société Générale are all scheduled to update investors. European banks that reported their results last week generally mirrored their American counterparts, suffering tough quarters on trading revenue, but benefiting from stronger consumer lending. Chad BrayþþþA Fed meeting and, perhaps, a new chairman.þþWhile President Trump publicly deliberates who should lead the Federal Reserve next year, it’s business as usual at the Fed, which will hold a regularly scheduled meeting of its monetary policy committee on Tuesday and Wednesday. The Fed is expected to leave its benchmark interest rate unchanged. The big question is whether the Fed remains on course to raise the rate at its final meeting of the year, in December. Any sign of hesitation would surprise financial markets. Economic growth is strong, unemployment is low and the Fed’s chairwoman, Janet L. Yellen, has said repeatedly that she isn’t overly worried about low inflation. Binyamin AppelbaumþþAUTO INDUSTRYþþAuto sales expected to resume decline.þþAutomakers on Wednesday are expected to report declines in new vehicle sales in October, a return to the downward trend the industry has been grappling with this year. In September, auto sales jumped as consumers rushed to replace cars and trucks damaged by the hurricanes that hit Texas and Florida. But that boost has dissipated. Edmunds.con is forecasting that October sales declined by 3.5 percent compared with a year ago. While sales remain at healthy levels, they have fallen every month this year except in September, after a record total in 2016. Neal E. BoudetteþþþInvestors looking for news on Tesla’s Model 3 production.þþWhen Tesla reports third-quarter earnings on Wednesday, all eyes will be focused not on the bottom line, but on the Model 3 production line. The electric car maker is expected to report a quarterly loss — it has lost money in five of the last six quarters — but more important is whether it has solved the bottlenecks that slowed production of the $35,000 Model 3, its first mass-market car. From July to September, Tesla produced fewer than 300, short of a goal of 1,500. Investors are hoping the earnings report will be accompanied by more details on the company’s progress. Neal E. BoudetteþþECONOMYþþBank of England expected to raise rates.þþThe Bank of England is widely expected to raise interest rates on Thursday as it releases its latest forecast for inflation. The central bank dropped rates to the lowest level in its history last year over concerns about how the British economy might fare after a vote to leave the European Union, commonly known as Brexit. A decline in the value of the pound since the vote has raised concerns about inflation, prompting some members of the bank’s Monetary Policy Committee to vote for an increase in rates in recent months. Inflation in Britain reached 2.8 percent in September, its highest level in five years, according to the Office of National Statistics. The central bank sees a 2 percent inflation rate as a sign of healthy economic growth. Chad BrayþþA rebound is expected for the job market.þþEmployers in the United States cut jobs in September for the first time in seven years, a decline that economists attributed largely to the hurricanes that struck Texas and Florida. On Friday, the government’s monthly employment report will reveal how strongly the job market has bounced back. Economists expect the report to show that employers added about 300,000 jobs in October, which would represent the strongest growth in more than two years. Policymakers will be watching closely. Disappointing data on hiring or workers’ earnings could make the Federal Reserve think twice about raising interest rates in December. Ben Casselmanþ
Source: NY Times
