New York, NY – The stock market ended the week with record-breaking highs, reflecting a US labor market that is showing signs of slowing down, but not at a worrisome pace, according to economists. Major indices such as the Nasdaq Composite, S&P 500, and Dow Jones Industrial Average all saw gains, with the Nasdaq up 2.3%, S&P 500 rising 1.3%, and Dow Jones up 0.3%.
Investors are closely monitoring key events such as the June Federal Reserve meeting and an inflation reading set for Wednesday. Additionally, the first consumer sentiment reading for June is expected on Friday.
In corporate news, Big Tech giants like Nvidia and Apple are set to make significant moves. Nvidia will undergo a 10-for-1 stock split, while Apple’s Worldwide Developer’s Conference is scheduled for Monday. Furthermore, a vote on Tesla CEO Elon Musk’s $56 billion pay package is anticipated on Thursday.
The volatility in GameStop stock continues to attract attention, especially with the return of Keith Gill, a prominent figure from the meme stock frenzy of 2021. The market is closely watching how these developments will unfold.
Analysts and economists are paying close attention to the latest jobs report, which showed more job additions than expected. This data reinforces the Federal Reserve’s stance on maintaining current interest rates until they see a sustained decrease in inflation.
The upcoming release of the Consumer Price Index on Wednesday is expected to provide further insight into inflation trends. Economists project a year-over-year gain for both headline and core CPI. The report will be followed by the Fed’s policy decision, where interest rate projections and commentary from Fed Chair Jerome Powell will be scrutinized.
Despite speculations of potential rate cuts, the market remains optimistic, with the S&P 500 closing near a record high following the stronger-than-expected jobs report. Investors are focusing on economic growth and solid earnings, which could mitigate any impact from the Fed’s decisions on rates.
Apple’s Worldwide Developers Conference is set to unveil details on the tech giant’s expansion into generative AI on Monday. The company’s stock has recently turned positive, reflecting positive investor sentiment ahead of the event.
Nvidia’s stock split is also generating interest, with historical data suggesting that companies that split their stock usually outperform the market in the year following the announcement. Analysts expect a positive response to the split, which could further boost the stock’s performance.
Tesla’s annual shareholder meeting on Thursday will include a crucial vote on Elon Musk’s massive pay package. The outcome of the vote is expected to have a significant impact on the company’s strategic direction and stock performance.
Looking ahead, the market will be focusing on key economic data releases throughout the week, including the Consumer Price Index, jobless claims, and consumer sentiment data. Analysts and investors will be closely monitoring these indicators for insights into the overall economic landscape.