🏦 Earnings season is kicking off – and, as usual, Wall Street’s up first. Citigroup, JPMorgan, Wells Fargo, and BlackRock will deliver updates on Tuesday. And Bank of America, Goldman Sachs, and Morgan Stanley will follow on Wednesday. ☺️ With busier trading and dealmaking in May and June, the market’s anticipating nicer results. And after looser capital rules were announced last month with the Federal Reserve’s latest stress test, investors are rubbing their palms together, hoping for fatter buybacks and bigger dividends. Put simply, expectations are high. 🌡️ But it’s not just financials on the earnings hot seat this week. Heavyweight chipmaker TSMC reports on Thursday – just a week after unveiling record second-quarter sales. And traders will be paying close attention to what the firm has to say about the rest of 2025. As Nvidia’s go-to chipmaker and a key AI supplier, its outlook could move the whole tech sector. Netflix also reports on Thursday: its stock’s already up 44% this year, thanks to a content strategy that’s drawn love from subscribers and shareholders. 🥙 But it could be a tough week, so analysts will be eating lunch at their desks and putting in the hours. They expect S&P 500 profit growth to have slowed to just 4% last quarter – down from 12% – with margins narrowing as tariffs delivered a pounding. So keep an eye out for hints about how companies are adjusting to life under those new import taxes, and how much (or how little) of the cost increase they plan to pass on to their customers. And pay attention when the economic data lands, too. The consumer price index showed virtually no tariff impact in May, but the June update could tell a different narrative. It’s due to be released on Tuesday. |
