What to expect in the week ahead (DAL, TSM, JPM, C)

Stock futures were lower in overnight trading Sunday after a rocky start to 2022 for equity markets as interest rates rise.

Futures on the Dow Jones Industrial Average shed about 130 points, or 0.4%. S&P 500 futures dipped 0.4% and Nasdaq 100 futures lost 0.3%.

The economic data highlights of the week will be a pair of inflation readings: The Bureau of Labor Statistics reports the consumer price index for December on Wednesday. Economists are expecting a 7.1% year-over-year spike, which would be the fastest rate of inflation since 1982. The BLS' producer price index is out on Thursday. That measure is expected to ease slightly from November.

Other data out this week include the National Federation of Independent Business' Small Business Optimism Index for December on Tuesday, plus the University of Michigan's Consumer Sentiment index for January and the Census Bureau's retail sales data for December -- both on Friday.

Finally, Federal Reserve watchers will be tuning in to Senate Banking Committee hearings on Tuesday. Lawmakers will be grilling Chairman Jerome Powell as they consider his renomination for another four-year term. He may give some clues to the Fed's current thinking about monetary policy.

Cannabis producer Tilray reports second-quarter fiscal-2022 results

Albertsons holds a conference call to discuss earnings.

The Senate Banking Committee conducts a hearing to weigh the renomination of Jerome Powell as chairman of the Federal Reserve for another four-year term. Lael Brainard's nomination as vice chair will be taken up by the same committee on Thursday, Jan. 13.

The National Federation of Independent Business releases its Small Business Optimism Index for December. Consensus estimate is for a 99.5 reading, about one point more than November's figure.

The Bureau of Labor Statistics reports the consumer price index for December. Economists forecast a 7.1% year-over-year spike, after a 6.8% rise in December, the fastest clip since 1982. The core CPI, which excludes volatile food and energy prices, is expected to jump 5.4%, half a percentage point more than in November, which was the most since 1991. Inflation has become a chief concern on both Main Street and Wall Street as the Federal Reserve has acknowledged that it isn't transitory.

The Federal Reserve releases the beige book for the first of eight times this year. The report gathers anecdotal information and summarizes current economic conditions from the 12 Federal Reserve districts.

Delta Air Lines and Taiwan Semiconductor Manufacturing hold conference calls to discuss quarterly results.

The BLS reports the producer price index for December. Consensus estimate is for a 0.4% monthly gain, while the core PPI is seen increasing 0.5%. This compares with rises of 0.8% and 0.7%, respectively, in November.

The Department of Labor reports initial jobless claims for the week ending on Jan. 8. In the first week of December, jobless claims were below 190,000, a level not seen in more than half a century.

Fourth-quarter earnings season begins in earnest with three of the largest U.S. banks reporting earnings. JPMorgan Chase, Wells Fargo, and Citigroup all release their results before the opening bell.

The University of Michigan releases its Consumer Sentiment index for January. Expectations are for a 70.4 reading, roughly even with the December data. The index is about 20% lower than its postpandemic peak in April, in part due to consumers' concerns about rising prices and cost of housing.

The Census Bureau reports retail sales data for December. Economists forecast a 0.3% month-over-month bump for consumer spending. Excluding autos, spending is also seen ticking up 0.3%. This would match the November data for both releases.