Although earnings season started off with a bang, we saw mega cap tech disappoint this week, with META and MSFT falling considerably after their earnings. This, of course, dragged down the indices. However, AMZN reported a great quarter, sending the stock up just over 6%, helping the indices recapture some of their losses. However, the indices still ended down on a week-over-week basis, with the Dow down 0.86%, the Russell down 1.30%, the S&P down 1.79%, and the Nasdaq down a whopping 2.02%.
Last week, we saw a mixed bag in terms of economic data releases. On the one hand, PCE fell right in line, coming in at 2.1% on a year-over-year basis. However, the JOLTS report and GDP came in a bit lower than anticipated, with JOLTS coming in at 7.44 million, compared to an expected 8.0 million, and GDP coming in at 2.8%, compared to an expected 3.1%. The US Employment report also came in considerably lower than anticipated, with 12,000 jobs added in the month of October, compared to an expected 110,000. There is a bit of an asterisk on this metric though, as the hurricanes that we saw in the months of September/October were a huge drag on employment.
This week, we have the week that everyone has been waiting for. We kick things off with the US presidential election on Tuesday. However, we likely won’t have the final vote count on Tuesday, so we’ll learn who our next president will be toward the end of the week. This is going to undoubtedly move the market in a massive way. As if that wasn’t enough excitement for one week, we also have the FOMC interest rate decision on Thursday. Most are expecting another rate cut, but only time will tell what the Fed is going to do!
Earnings season continues this week as some of the largest companies in the world report their earnings, such as:
11/04 – Vertex Pharmaceuticals (VRTX), Palantir Technologies (PLTR), Constellation Energy (CEG), Zoetis (ZTS), Marriott INternational (MAR), NXP Semiconductors (NXPI), Realty Income Corp (O)
11/05 – Ferrari (RACE), Apollo Global Management (APO), Thomson Reuters (TRI), Emerson Electric (EMR), Marathon Petroleum (MPC), Coupang (CPNG), Cummins (CMI), Microchip Technology (MCHP), Gartner (IT), Yum! Brands (YUM), Restaurant Brands International (QSR)
11/06 – Novo Nordisk (NVO), Toyota Motor (TM), QUALCOMM (QCOM), Arm Holdings (ARM), Gilead Sciences (GILD), MercadoLibre (MELI), CVS Health Corporation (CVS), McKesson (MCK), Williams Companies (WMB), Applovin (APP), Fair Isaac Corporation (FICO), HubSpot (HUBS)
11/07 – Arista Networks (ANET), Airbnb (ABNB), Motorola Solutions (MSI), Transdigm Group (TDG), Air Products and Chemicals (APD), CRH (CRH), Fortinet (FTNT), The Trade Desk (TTD), Monster Beverage (MNST), Block (SQ), Kenvue (KVUE), Vistra (VST), Datadog (DDOG), The Hershey Company (HSY)
11/08 – Orix Corp Ads (IX), Paramount Global (PARAA), Lamar Advertising (LAMR)
This week, all eyes will be on the AI plays, with a large focus on PLTR. This year, the stock has had a tremendous run-up, and analysts and retail investors alike are eager to see if the stock can maintain the massive amount of momentum it has. There will also be quite a bit of focus on companies like QCOM and ARM, as these companies will give us a good idea of whether or not AI & chip spend is continuing to build.
Monitoring the market conditions this week.
Want to stay in the know? Want tips delivered right to your inbox? Simply provide your email address below and you’ll get a high-value newsletter, designed to help you trade stronger.
