Almost 25% of SPX companies report this week with most eyes on TSLA and GOOGL, although a broad swath of industry reports will provide greater detail on how tariffs are impacting the consumer and the economy as investors anxiously await announced frameworks for initial trade deals.
A big week of earnings ahead with investors focused on forward looking commentary which was less than enthusiastic last week from JPM/BLK/WFC. Financial companies GS/BAC/C/SCHW all reporting as are hcare juggernauts UNH/JNJ/ABT with NFLX hoping to strike a strong consumer chord Thurs after the close.
A new week but more of the same as global markets are trading lower by 3-5% with China (Shanghai) closing down 7%+ and Hong Kong lower by 12%
A tough last week of 1Q25 as strong gains on Monday could not overcome tariff fears leading to heavy declines on Wednesday and Friday which left the SPX 1.5% lower, the DJIA lighter by 1.4% while the technology heavy Nasdaq shed 2.5%, and is now 14% lower vs. highs in late December ‘24. Small and mid-cap stocks declined, both losing a bit more than 1%. Technology led sectors to the downside, shedding 3.4%, while Comm Services lost 1.6%.
No rebound is expected as tariff uncertainty continues to impact the numbers. PCE inflation data on Friday will be much talked about but unlikely to show a meaningful acceleration from the prior month level of 2.5%.