Over the past couple of weeks, Big Tech companies have largely been disappointing Wall Street with the announcement of increased capex levels over the course of the next year. However, the market at large has mostly remained unfazed by Big Tech being punished, with the Dow up 0.79%, the S&P up 1.46%, the Nasdaq up 1.47%, and the Russell up 1.91% over the course of the past week. Luckily for us, we’re through all of the big tech companies reporting earnings. However, we still have a big week ahead of us!
Despite the announcement of higher levels of capex from big tech, we saw some great numbers in terms of last week’s economic data releases. To start things off, the JOLTS report came in around 5% lower than expectations, with around 7.6 million job openings. We also saw the unemployment rate tick down to 4% from 4.1% last month! On the flip side, preliminary consumer sentiment for the month of February came in quite a bit lower than anticipated, at 67.8, compared to an expected 71.3.
Again, we have another big week in terms of economic data ahead of us. We start things off on Wednesday, with CPI and Fed Chairman Jerome Powell testifying to Congress. We then have PPI data on Thursday and retail sales data on Friday. All of these economic data releases in conjunction with the earnings releases we’ll talk about in the next section will give us a great idea of where the average consumer is financially and where they can expect to be over the coming months!
Earnings season continues, as some of the largest companies in the world report their earnings, such as:
02/10 – McDonald’s (MCD), Vertex Pharmaceuticals (VRTX), Arch Capital Group (ACGL), Rockwell Automation (ROK), ON Semiconductor (ON), Loews Corporation (L), Credicorp (BAP), Astera Labs (ALAB), Incyte Corporation (INCY)
02/11 – Coca-Cola (KO), S&P Global (SPGI), Shopify (SHOP), Gilead Sciences (GILD), Welltower (WELL), BP (BP), Marriott International (MAR), DoorDash (DASH), Ecolab (ECL), Carrier Global (CARR), Humana (HUM), GlobalFoundries (GFS), Zillow Group (Z), Super Micro Computer (SMCI), The Carlyle Group (CG)
02/12 – Cisco Systems (CSC), Applovin (APP), Equinix (EQIX), CME Group (CME), The Williams Companies (WMB), CVS Health (CVS), The Trade Desk (TTD), Waste Connections (WCN), Robinhood Markets (HOOD), Vertiv (VRT), HubSpot (HUBS), Crown Castle (CCI), Reddit (RDDT), The Kraft Heinz Company (KHC), Martin Marietta Materials (MLM)
02/13 – Applied Materials (AMAT), Unilever (UL), Sony Group (SONY), Deere & Company (DE), Palo Alto Networks (PANW), British American Tobacco (BTI), Moody’s (MCO), Brookfield (BN), Duke Energy (DUK), Airbnb (ABNB), Zoetis (ZTS), Coinbase Global (COIN), Datadog (DDOG), GE HealthCare Technologies (GEHC), Ingersoll Rand (IR)
02/14 – Enbridge (ENB), Honda Motor Company (HMC), Ubiquiti (UI), Moderna (MRNA)
This week, it will be particularly important to pay attention to the mid-sized tech companies, like SHOP, DASH, TTD, HOOD, HUBS, ABNB, and DDOG. These companies will give us a great idea of where both consumers and businesses are spending their money amidst these economically confusing times!
Monitoring the market conditions this week.
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