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Writer's pictureJohn Falcone

Upcoming week

The US market outlook for the upcoming week, starting Monday, is **positive**. Here are the top three reasons supporting this outlook:


1. **Technical Bounce**: The market is expected to experience a technical bounce, with the S&P 500 Index and Nasdaq 100 Index showing signs of support at their respective moving averages.

2. **Earnings Expectations**: Tech companies are anticipated to deliver strong earnings, with a projected year-on-year growth of 18% in the current earnings season.

3. **Fed Rate Cut**: There is anticipation of a rate cut by the Federal Reserve in September, which could provide additional support to the market.


Additionally, there are several key events next week that could influence market dynamics:


1. **Federal Open Market Committee (FOMC) Meeting**: Insights into the Fed's future monetary policy decisions could significantly impact market sentiments.

2. **Monthly Jobs Report**: Scheduled for release next Friday, this report could sway the market, especially if the unemployment rate increases to 4.2% and triggers the Sahm Rule.

3. **Bank of Japan (BOJ) Monetary Policy Meeting**: Discussions on rate hikes could add volatility, particularly affecting the Yen carry trade and tech stocks.


These factors and events are expected to play crucial roles in shaping market trends for the week. If you need more detailed analysis or have specific aspects you'd like to explore further, feel free to ask!

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