- Major indices closed higher for the week following June’s PCE inflation data.
- The busiest week of the revenue season is upon us.
- President Joe Biden has revealed his plan to overhaul the Supreme Court.
Here are five key things investors should know to start the trading day:
It was a volatile week for stocks, with all major indexes higher on Friday. The Dow Jones Industrial Average rose 1.64% to end Friday’s trading session at 40,589.34. The S&P 500 and Nasdaq Composite rose 1.11% and 1.03% to end at 5,459.10 and 17,357.88, respectively. The cycle continued in small-cap stocks and cyclical areas of the market as the Russell 2000 index advanced 1.67%. The gains were supported by June’s reading in the Federal Reserve’s preferred measure of inflation, known as the personal consumption expenditures price index. The report showed a 0.1% increase in the month and a 2.5% increase from the same period a year ago, as expected from Dow Jones polled economists. Follow live market updates.
People walk past the Microsoft Store entrance with the company logo on 5th Avenue in Midtown Manhattan in New York City, USA (Photo by Nicholas Economo/NurPhoto via Getty Images)
Nicolas Economou | NoorPhoto | Good pictures
This week marks the high earning season. Among all S&P 500 companies, about 160 companies are due to report their quarterly results, with the likes of Advanced Micro Devices and Microsoft scheduled for early in the week. Apple, another megacap technology company, is scheduled to release its results. Big tech names have underperformed in the first half of the year as they have come under pressure of late since they switched to small caps. Here are the key earnings to watch:
View of the US Supreme Court on June 24, 2024, the day the justices issue orders on appeals pending in Washington.
Nathan Howard | Reuters
US President Joe Biden recently unveiled his plan to reform the Supreme Court. The three-pronged proposal, titled “No One Above the Law Amendment,” calls for term limits on the court’s judges, binding statutes and a constitutional amendment to limit their time in office. The reform comes after the Supreme Court ruled earlier this month that former President Donald Trump is immune for “official acts” performed while in office. The proposal also responds to Justices such as Clarence Thomas and Samuel Alito accepting undisclosed financial gifts.
In an aerial view, a customer walks past a sign as they exit a McDonald’s restaurant in San Pablo, California, on April 3, 2023.
Justin Sullivan | Good pictures
As consumers cut back on their spending habits, fast-food chains are bringing back discounted meals. McDonald’s, Taco Bell, Burger King and Wendy’s have all brought back $5 meals. This comes as runaway menu prices have started to scare off some of these chains’ customer base, especially those with lower incomes. On the other hand, Wall Street has grown wary of the effects of reviving value foods on corporate profits. “The feeling among investors is that the second quarter is going to be a forgettable one — you’re going to lose a lot of big chains out of consensus. [estimates],” KeyBanc analyst Eric Gonzalez told CNBC.
Marvel’s “Deadpool & Wolverine” stars Ryan Reynolds and Hugh Jackman.
Disney
The box office has a new leader. Marvel’s “Deadpool & Wolverine” opened this weekend with $205 million in domestic ticket sales. This is not only the highest debut of 2024, but also the highest of any R-rated film in history. Analysts were only expecting $160 million to $180 million. It didn’t stop there. The film grossed $233.3 million at the international box office. It has a total of $438.3 million in its opening weekend. “The huge debut of ‘Deadpool & Wolverine’ should convince those who jumped onto the big screen in May that you can never underestimate the power, seductive resilience and, yes, unpredictability of the theatrical experience,” Paul said. Tergarabedian is Senior Media Analyst at ComScore.
— CNBC’s Samantha Subin, Pia Singh, Fred Imbert, Rebecca Picciotto, Amelia Lucas and Sarah Witten contributed to this report.
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