Stock futures were higher on Monday as investors brace for the busiest week of the year for corporate earnings and economic data.
Near 6:30 a.m. ET, S&P 500, Dow, and Nasdaq futures were all up about 0.5%.
Last week, all three major indexes logged weekly advances with the S&P 500’s advance since mid-June lows coming in at about 8%. The Nasdaq has gained over 10% during this period.
In the week ahead, quarterly results from over 170 companies in the S&P 500 are expected, with Wednesday’s policy announcement from the Federal Reserve and Thursday’s GDP data also expected to move markets.
Monday will ease investors into the week, with results from Whirlpool (WHR) and NXP Semiconductor (NXPI) the biggest corporate results, while regional economic data from the Chicago Fed and Dallas Fed serve as the top economic releases.
“Whether it’s a rally from an established bottom by the market or a ‘bear market rally,’ there’s fodder for argument between bulls and bears in any given moment in day to day market action,” said John Stoltzfus, chief market strategist at Oppenheimer Asset Management in a note to clients on Monday.
Looking at sector-level performance since June 16, Stoltzfus and his team note the rally since June 16 has been almost a mirror image of the market’s performance this year.
Ten of 11 S&P 500 sectors are higher since the mid-June lows, with only Energy (XLE) seeing losses over this period, falling over 7%. On a year-to-date basis, Energy remains the only S&P 500 sector higher in 2022 through Friday’s close, up some 28%.
The Consumer Discretionary (XLY) has led the market since mid-June, rising over 15% in the last five weeks. Year-to-date, this has been the second-worst performing sector in the S&P 500, falling 24% through Friday, with only Communication Services (XLC) — down almost 30% in 2022 — faring worse.
This post will be updated.