Hopes that the U.S. stocks rally will broaden beyond megacaps like Nvidia will be tested in coming weeks as investors learn whether profit growth from other companies is starting to catch up with that of the tech-related leaders.
Second-quarter earnings kick off next week with major banks including JPMorgan and Citigroup reporting on July 12. Investors will be watching whether profits from other companies are catching up with the “Magnificent 7″: Nvidia, Microsoft, Apple, Alphabet, Amazon, Meta Platforms and Tesla, many of which rebounded from struggles in 2022.
“If we’re looking for a catalyst to have broader participation in this rally this year, the second-quarter earnings reporting season may well be the start of that,” said Art Hogan, chief market strategist at B Riley Wealth. Earnings among the Magnificent 7 rose 51.8 per cent year-on-year in the first quarter compared to 1.3 per cent earnings growth for the rest of the S&P 500, according to Tajinder Dhillon, senior research analyst at LSEG.
The WFII suggests investors trim gains in the technology and communication services sectors to take advantage of weakness in energy, healthcare, industrials and materials.
Sverige Senaste nytt, Sverige Rubriker
Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.
Källa: YahooFinanceCA - 🏆 47. / 63 Läs mer »
Källa: globeandmail - 🏆 5. / 92 Läs mer »
Källa: BNNBloomberg - 🏆 83. / 50 Läs mer »