Stocks trade in tight range ahead of week full of earnings
Altium Wealth Portfolio Manager Michael Lee on the state of the markets and the outlook for Federal Reserve policy.
U.S. stocks traded in a tight range Monday as Wall Street awaited the results of second-quarter earnings and a slew of government economic reports.
In addition, investors remained focused on interest rate cut expectations and hopes for an end to the U.S.-China trade conflict.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 44296.51 | +426.16 | +0.97% |
| SP500 | S&P 500 | 5969.34 | +20.63 | +0.35% |
| I:COMP | NASDAQ COMPOSITE INDEX | 19003.651134 | +31.23 | +0.16% |
This week, 10 companies listed on the Dow Jones Industrial Average, including Boeing, Coca-Cola and Caterpillar, report financial results through June.
Also on the earnings docket is Facebook, Google-parent company Alphabet and Tesla.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| BA | THE BOEING CO. | 149.27 | +5.87 | +4.09% |
| HAL | HALLIBURTON CO. | 31.94 | +0.07 | +0.20% |
| FB | NO DATA AVAILABLE | - | - | - |
| AMZN | AMAZON.COM INC. | 197.12 | -1.26 | -0.64% |
| GOOGL | ALPHABET INC. | 164.76 | -2.87 | -1.71% |
There will be fresh data on new home sales and durable goods orders on Wednesday and Thursday, respectively. On Friday, the Commerce Department will report second-quarter growth figures.
Halliburton shares jumped after the oilfield services provider's second-quarter profit beat analysts' estimates.
So far this reporting cycle, 79 percent of S&P 500 companies exceed earnings expectations, according to FactSet.
Meanwhile, hopes are still high that the Federal Reserve will cut interest rates at its upcoming July meeting.
Several officials at the central bank have suggested as much over the past few weeks, including Chairman Jerome Powell, but more cautious wording is suggesting to investors and other experts that the Fed may lower rates by a quarter of a percentage point, less than the half-basis point some were predicting.
The CME Group’s FedWatch tool, a closely watched indicator of the central bank’s sentiment, lists the possibility for a 25-point cut at 75.5 percent.
CLICK HERE TO GET THE FOX BUSINESS APP
On Monday, China launched a Nasdaq-inspired technology stock exchange. Known as the STAR Market, prices of the 25 companies listed on the exchange doubled in price after the ceremonial opening attended by government and financial officials.