These are 3 big things we’re watching in the stock market this week

The recent fluctuations in the stock market have highlighted the significant impact that political events and policies can have on Wall Street. Last week, the S&P 500 experienced a sharp decline on Monday as President Donald Trump’s comments regarding Federal Reserve Chairman Jerome Powell and trade talks with China caused uncertainty among investors. However, the market began to rebound on Tuesday after Treasury Secretary Scott Bessent suggested a de-escalation in the trade war.

Throughout the week, the market responded positively to various developments, including Trump’s decision not to fire Powell and his softened stance on China. By the end of the week, both the S&P 500 and Nasdaq had gained significantly, with tech stocks like Broadcom and CrowdStrike standing out as top performers. Despite these gains, sectors like health care and materials continued to struggle.

Earnings reports from consumer-facing companies last week reflected concerns about the economy and inflation, leading to cautious consumer spending. Companies like Danaher and Capital One delivered strong quarterly results, with the latter seeing a significant increase in its stock price. Financial stocks like Wells Fargo and BlackRock also performed well.

Trade alerts issued throughout the week included adjustments to positions in Apple, Nvidia, BlackRock, and Dover. These strategic moves were made in response to ongoing trade tensions and market conditions. Looking ahead, the economic calendar for the upcoming week includes key releases on job market data and inflation, which will provide further insight into the state of the U.S. economy amid the trade war.

In addition to economic data, a busy earnings calendar is also anticipated, with several major companies set to report their quarterly results. Big Tech companies like Meta Platforms and Microsoft will be closely watched for their performance in the face of trade uncertainties. Other companies like Starbucks, Eli Lilly, and Apple will provide insight into how tariffs are impacting their businesses.

Overall, the stock market remains sensitive to political events and trade developments, highlighting the importance of staying informed and making strategic investment decisions. As investors navigate through uncertain times, careful analysis of market trends and company performance will be crucial in maximizing returns and managing risks.