Coming Week: Batten the Hatches

The recent earnings drizzle will turn to a downpour in the coming week, while inflation figures and rising tensions in the Middle East could also help create a market tempest.

"The stock market has reacted negatively to the attacks traded between Israel and Lebanon because this situation has the potential to be even more explosive, as it may lead to the involvement of Iran and Syria," says Robert Pavlik, chief investment strategist at Oaktree Asset Management. "The potential to disrupt the flow of crude has market watchers fearing that soaring energy prices could cause an extended pullback in stock prices and may lead to a greater slowdown in economic growth."

The earnings storm starts on Monday, with Dow component Citigroup (C Quote) releasing quarterly results before the bell. According to Thomson First Call, analysts expect the mega-bank to post a second-quarter profit of $1.06 a share, up from 97 cents a year earlier, on revenue of $22.68 billion. ...