MARKET WRAP

The S&P 500 and Nasdaq Composite closed at record highs to start the week. The S&P 500 was up 0.10%, while the Nasdaq was up 0.28%.

The new highs come as investors await key economic data and earnings reports later this week.

According to CNBC, 17 S&P 500 companies hit new all-time highs, including Amazon, Apple, Meta, Costco, Goldman Sachs and Eli Lilly.

Corning was the best-performing stock in the index, up 12%, after the company raised its second-quarter guidance as the AI boom drives demand.

ServiceNow was among the worst performers, down 5% after it was downgraded to sell from neutral at Guggenheim. The analyst cited the potential for the company to lower guidance when it reports later this month.

Technology was the best-performing sector, up half of a percent, while communication services was the worst-performing sector, down about 1%.

MRKT MATRIX: July 8, 2024

Today’s Top Stories:

• S&P 500, Nasdaq close at all-time highs ahead of inflation data and second-quarter earnings reports (CNBC)

• Morgan Stanley’s Wilson Says a 10% Stock Market Correction Is ‘Highly Likely’ (Bloomberg)

• Oppenheimer raises S&P 500 target to 5,900, second highest on Wall Street (CNBC)

• Banks’ Hedges Are Cheap Before the Start of the Earnings Season (Bloomberg)

• Goldman tells clients to buy calls on Wells Fargo ahead of results Friday (CNBC)

• Inflation outrage: Even as prices stabilize, Walmart, Chipotle and others feel the heat from skeptical customers (CNBC)

• Where Have All the Good Stocks Gone? (WSJ)

• Google Struggles to Lessen Reliance on Apple Safari (The Information)

• China Outspends the U.S. on Fusion in the Race for Energy’s Holy Grail (WSJ)

• Beryl unleashes high winds, heavy rains in Texas, stranding residents and leaving 2M without power (AP)

• Corn, Soy Slump to Lowest Since 2020 as Hurricane Brings Rains (Bloomberg)

Today’s MRKT Call is Presented by FactSet

Earnings Expectations vs. Reality

Dan Nathan and Guy Adami break down the top market headlines and bring you stock market trade ideas for Monday, July 8th

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Today’s On The Tape is Presented by CME Group, iConnections and SoFi

You Never See The Market Turn Coming…

On this episode of “On The Tape,” Guy Adami and Liz Young Thomas delve into the stock market's latest all-time highs and the market's questionable response to weak job numbers, and predictions about the Federal Reserve's potential upcoming rate cuts due to increasing unemployment, which has exceeded 4% for the first time since 2021. They also address the peculiar behavior of the small caps and speculate on the possibility of a near-term market correction. Additionally, the pair previews the upcoming earnings and economic data, including CPI, PPI, and bank earnings, highlighting their significance on the current economic outlook.

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