\"It's a make or break week for (tech) stocks; if earnings don't disappoint, then the market can continue to rally.\"<\/em><\/p>\n\n\n\n In the days ahead, the U.S. stock market will also be hypersensitive to any FED comments, while money market traders are currently pricing in a 92% chance that the U.S. central bank will raise rates by 25 basis points next month. The federal funds rate is now in a range of 4.75% to 5%, which is the highest level since 2006, and with higher interest rates, companies need to spend more money to borrow money to invest in growth, and historically, higher rates negatively influenced on companies' earnings.<\/p>\n\n\n\n The latest economic data, including retail sales, industrial production, and consumer sentiment, probably cemented this expectation, and important data scheduled for release this week include early readings of first-quarter U.S. GDP, personal consumer expenditure index (PCE) for March, and April consumer confidence data.<\/p>\n","post_title":"U.S. Stocks Have Held Steady At The Start Of The Earnings Season; What To Expect In Coming Weeks","post_excerpt":"","post_status":"publish","comment_status":"closed","ping_status":"closed","post_password":"","post_name":"u-s-stocks-have-held-steady-at-the-start-of-the-earnings-season-what-to-expect-in-coming-weeks","to_ping":"","pinged":"","post_modified":"2023-04-27 12:05:28","post_modified_gmt":"2023-04-27 02:05:28","post_content_filtered":"","post_parent":0,"guid":"https:\/\/www.thedistributed.co\/?p=11197","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"}],"next":false,"total_page":false},"paged":1,"class":"jblog_block_13"};
Alphabet, Microsoft Corp, Amazon, and Meta Platforms constitute more than 14% of the value of the benchmark S&P 500, and investors will watch guidance carefully from these companies to determine if inflation will crimp profit margins or if costs can be passed through. Corporate profits are emerging as the big driver of what the market is likely to do in the near term, and if earnings results fall short of expectations, the stock market's reaction could be severe. Peter Cardillo, chief market economist at Spartan Capital Securities in New York, said<\/a>:<\/p>\n\n\n\n \"It's a make or break week for (tech) stocks; if earnings don't disappoint, then the market can continue to rally.\"<\/em><\/p>\n\n\n\n In the days ahead, the U.S. stock market will also be hypersensitive to any FED comments, while money market traders are currently pricing in a 92% chance that the U.S. central bank will raise rates by 25 basis points next month. The federal funds rate is now in a range of 4.75% to 5%, which is the highest level since 2006, and with higher interest rates, companies need to spend more money to borrow money to invest in growth, and historically, higher rates negatively influenced on companies' earnings.<\/p>\n\n\n\n The latest economic data, including retail sales, industrial production, and consumer sentiment, probably cemented this expectation, and important data scheduled for release this week include early readings of first-quarter U.S. GDP, personal consumer expenditure index (PCE) for March, and April consumer confidence data.<\/p>\n","post_title":"U.S. Stocks Have Held Steady At The Start Of The Earnings Season; What To Expect In Coming Weeks","post_excerpt":"","post_status":"publish","comment_status":"closed","ping_status":"closed","post_password":"","post_name":"u-s-stocks-have-held-steady-at-the-start-of-the-earnings-season-what-to-expect-in-coming-weeks","to_ping":"","pinged":"","post_modified":"2023-04-27 12:05:28","post_modified_gmt":"2023-04-27 02:05:28","post_content_filtered":"","post_parent":0,"guid":"https:\/\/www.thedistributed.co\/?p=11197","menu_order":0,"post_type":"post","post_mime_type":"","comment_count":"0","filter":"raw"}],"next":false,"total_page":false},"paged":1,"class":"jblog_block_13"};