Stocks rise slightly ahead of key inflation data this week and the start of Q2 earnings season
Stocks rose slightly Monday as investors prepared for a slate of inflation data later in the week and braced for the start of the second-quarter earnings season.
The $Dow Jones Industrial Average (.DJI.US)$ traded 105 points higher, or 0.3%. The $S&P 500 Index (.SPX.US)$ climbed 0.1%, and the $Nasdaq Composite Index (.IXIC.US)$ inched up less than 0.1%.
$Meta Platforms (META.US)$ shares jumped more than 2% as the company’s new digital platform Threads hit over 100 million users, according to Quiver Quantitative.
This week’s inflation data follows a rate hike skip at the June Federal Open Market Committee meeting. The consumer price index report is due out Wednesday, followed by the producer price index — a measure of wholesale price pressures — due Thursday.
Wall Street is coming off a losing week. The S&P 500 pulled back 1.16%, while the Nasdaq Composite and Dow fell 0.92% and 1.96%, respectively.
Despite nonfarm payrolls growing less than expected in June, slightly stronger-than-expected wage growth raised concern over the potential for more Federal Reserve rate hikes.
Investors also have a slew of quarterly earnings reports to consider this week. Finance behemoths BlackRock, JPMorgan Chase, Wells Fargo and Citigroup will all report and kick off the second-quarter earnings season.
“We believe S&P 500 earnings will face significant pressure during the rest of the year and enter an earnings recession,” Morgan Stanley analyst Edward Stanley wrote in a Sunday note to investors. “The reason is negative operating leverage — when cost growth exceeds sales growth, earnings growth takes a steep hit.” $SPDR S&P 500 ETF (SPY.US)$ $Invesco QQQ Trust (QQQ.US)$
The $Dow Jones Industrial Average (.DJI.US)$ traded 105 points higher, or 0.3%. The $S&P 500 Index (.SPX.US)$ climbed 0.1%, and the $Nasdaq Composite Index (.IXIC.US)$ inched up less than 0.1%.
$Meta Platforms (META.US)$ shares jumped more than 2% as the company’s new digital platform Threads hit over 100 million users, according to Quiver Quantitative.
This week’s inflation data follows a rate hike skip at the June Federal Open Market Committee meeting. The consumer price index report is due out Wednesday, followed by the producer price index — a measure of wholesale price pressures — due Thursday.
Wall Street is coming off a losing week. The S&P 500 pulled back 1.16%, while the Nasdaq Composite and Dow fell 0.92% and 1.96%, respectively.
Despite nonfarm payrolls growing less than expected in June, slightly stronger-than-expected wage growth raised concern over the potential for more Federal Reserve rate hikes.
Investors also have a slew of quarterly earnings reports to consider this week. Finance behemoths BlackRock, JPMorgan Chase, Wells Fargo and Citigroup will all report and kick off the second-quarter earnings season.
“We believe S&P 500 earnings will face significant pressure during the rest of the year and enter an earnings recession,” Morgan Stanley analyst Edward Stanley wrote in a Sunday note to investors. “The reason is negative operating leverage — when cost growth exceeds sales growth, earnings growth takes a steep hit.” $SPDR S&P 500 ETF (SPY.US)$ $Invesco QQQ Trust (QQQ.US)$
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