Weekly Stock Market Update & SPY Technical Analysis
Stocks surged higher last week, ending the week at a new all time high following bank earnings and new inflation data. JP Morgan and Well Fargo were the first of many financial institutions to report, and their numbers pleasantly surprised investors by beating on profit expectations.
This week, earnings season picks up momentum with major companies like UnitedHealth Group, Johnson & Johnson, ASML, TSMC, Netflix, and American Express set to report. The diversity across industries and sectors from these companies will provide valuable insights into broader market trends as earnings season unfolds.
ASML and TSMC, in particular, will be closely watched due to their significant roles in the artificial intelligence and semiconductor sectors. As the largest tech company in Europe, ASML holds substantial influence, while TSMC is a critical manufacturer for Nvidia and AMD, making it an essential stock to monitor. Their performance is likely to have ripple effects throughout the semiconductor industry and the broader tech sector.
September’s retail sales data is set to be released this week as well. The number is expected to improve from last month’s reading of 0.1 to 0.3, but it is still on the lower end of the healthy range. Retail sales have struggled to grow due to rising consumer skepticism, which could signal potential challenges for the economy. September’s data may not be very influential given the fact that holiday spending is expected to grow, but the numbers in the coming months will be vital to watch.