Good Morning,
I hope everyone had a great weekend! Believe it or not, the NFL season kicks-off next week (July 31st) in Detroit with the Hall of Fame Game. No need to worry, we still technically have 64 days left of summer!
Stocks were mainly positive last week after recent inflation numbers (CPI and PPI) were largely in line with expectations. Retail sales rose in June which added to investor confidence on the resilience of the economy. There continues to be trade negotiations with the EU and Mexico with the EU planning retaliatory measures if a deal is not inked by the August 1st deadline. I think the market is largely in a “wait and see mode” around tariffs while focusing more on Q2 earnings season. There are some 110 companies in the S&P 500 scheduled to report this week with Alphabet (Google) & Tesla on Wednesday. The tariff dynamic adds uncertainties, but I continue to like the set-up building with an economy that remains resilient and likely two interest rate cuts ahead (first fully priced in October). Should we see any kneejerk pullbacks, I would consider them a good buying opportunity heading into the back half of the year. Please continue to reach out with questions/comments.
Attached, please find this week’s Market Strategy Radar Screen Report from John Stoltzfus, Chief Investment Strategist of Oppenheimer Asset Management. A look at “where we stand” and earnings season, are among the topics.
Have a great week!