Key inflation data is coming this week and AI superstar Nvidia reports earnings. Wall Street will continue to absorb comments from Fed Chairman Jerome Powell from last week, noting that the Fed is ready to start easing monetary policy. The Dow Jones Industrial Average ended last week up 1.3%, the S&P 500 gained 1.5%, and the Nasdaq was higher by 1.4%. Year to date, the DJIA is higher by 9%, the S&P is up 18%, and the Nasdaq has popped 19%. On the economic calendar, inflation data via PCE is the highlight of the week, to be reported on Friday. In June, the PCE (Personal Consumption Expenditures) came in at 2.5%. We see that bumping up slightly to 2.6%. Core PCE came in at 2.6% for June. We see no change for July. Elsewhere, Durable Goods Orders will be reported on Monday. On Tuesday, the Case-Shiller Home Price Index and Consumer Confidence hit the tape, and on Thursday, GDP will be updated. Several Fed officials speak throughout the week. The earnings calendar is winding down, but some important reports remain. On Wednesday, Nvidia, Salesforce, CrowdStrike, HP, and J.M. Smucker all report. Aside from Nvidia's data, analysts will be listening to hear what CrowdStrike management has to say about the global software glitch last month and the impact on business. On Thursday, reports come from Dell, Marvell Technology, Best Buy, Lululemon, Gap, and Ulta Beauty. Earnings are coming in 12.7% higher this quarter than a year ago. Some 95% of S&P 500 companies have reported so far. Financials and Healthcare are the leading sectors, both up 20% for the quarter compared to the same quarter last year. Materials are on the other end, down 6%. Expectations were for 8%-12% earnings growth for 2Q, so corporate America has again surpassed the initial forecast. Mortgage rates fell three basis points (bps) to 6.46% for the average 30-year fixed-rate mortgage. Gas prices fell three cents to $3.38 per gallon for the average price of regular gas. The Atlanta Fed GDPNow indicator is forecasting for 3Q and calls for expansion of 2.0%. The Cleveland Fed CPINow indicator forecasts 2.6% for August CPI. Looking ahead, the next Fed rate decision comes on September 18, with odds at 100% for a rate cut. Of that, 63% expect a 25-bps cut and 37% a 50-bps cut. There are then two more Fed rate meetings this year, the first on November 7 and the second on December 18. We now expect three rate cuts this year, for a total of 75 bps. We see two rate cuts in 2025. We see all cuts in the size of 25 bps.

Tech stocks are leading the Nasdaq higher at midday, and the S&P 500 is headed north as well. That said, the Dow Jones Industrial Average is off by about 250 points and the Russell 2000 is also lower, leading to a bifurcated stock market so far today. The yield on the 10-year Treasury note is down slightly to about 4.43%, gold and Bitcoin are off about 1%, and crude oil prices are rising. On the earnings front, Nvidia (NVDA, up 10%) remains the story of the day after its quarterly profit report once again rocketed past Street expectations. The good news from the AI industry leader is lifting other tech stock as well (DELL, up 7%; SMCI, up 4%).

U.S. markets rallied on Thursday morning on stellar Nvidia results. On the housing front, existing home sales rose 3.1% to an annual rate of 4 million, this up from 3.8 million in December. The median home sales price was $379,100, 5.1% higher than a year ago, but down from $381,400 in December. As for economic trends, S&P Global's flash readings for February's PMI show expansion in both services and manufacturing. Services activity slowed to 51.3, down from 52.5 in January, but remained in expansion territory. Manufacturing PMI expanded more quickly in February with a reading of 51.7, up from 50.7 in January. The tech heavy Nasdaq rose 2.6%, the S&P 500 was up $1.8% and the Dow gained 0.8%

Stocks rose on Monday morning, led by the Communication Services and Financial sectors, as investors awaited the Fed's next interest rate decision and the October employment report later this week. On the earnings front, McDonald's shares rose after the company posted stronger-than-expected third-quarter sales and earnings. The Dow rose 1.0%, the S&P 0.6%, and the Nasdaq 0.7%. Crude oil fell sharply to $82.50 per barrel while gold rose $12 to trade near $2010 per ounce.

Stocks fell in late trading on Thursday, giving up early gains, as investors weighed more 2Q earnings reports and new GDP and employment data. The Commerce Department, in its advance estimate, said that the U.S. economy expanded at a 2.4% annualized rate in 2Q23, up from a revised 2.0% in 1Q and above the Bloomberg consensus forecast of 1.8% growth. On the employment front, first-time claims for state unemployment benefits fell by 7,000 to a seasonally adjusted 221,000 for the week ended July 22, below the Bloomberg consensus of 235,000. Continuing claims fell by 59,000 to 1.69 million. The Dow fell 0.67%, the S&P 0.64%, and the Nasdaq 0.55%. Crude oil rose more than 1% to $80 per barrel, while gold fell $26 to $1944 per ounce.

Stocks gave up early gains on Monday morning, led by declines in the Communication Services and Healthcare sectors, as investors awaited new data on inflation, consumer confidence, and GDP growth later in the week. On the earnings front, Carnival shares fell 11% after the cruise operator posted a narrower-than-expected fiscal 2Q loss but offered disappointing EPS guidance for the current quarter. The Dow, the S&P, and the Nasdaq were all down about 0.2%. Crude oil traded near $69 per barrel while gold rose $6 to $1936 per ounce.

Small- and mid-cap stocks (SMID) have underperformed large-caps over the past 12 months, but may be in a better position to generate market-beating returns going forward. SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine, high European inflation or other geopolitical developments. As well, the prices of SMID stocks generally are lower than the prices of large-caps. SMID stocks can be risky, but diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 12%-15% of the U.S. stock market's capitalization is comprised of SMID stocks. For our purposes, we use a threshold of $15 billion to define a SMID stock.

Stocks were mixed on Wednesday morning amid new manufacturing data and hawkish comments from Fed officials that pointed to an extended rate hike campaign. The Institute for Supply Management said that its manufacturing PMI rose to 47.7 in February, up slightly from 47.4 in January but below the Reuters consensus forecast of 48.0. Readings below 50 indicate contraction in manufacturing. The Dow rose 0.2%, the S&P fell 0.2%, and the Nasdaq fell 0.3%. Crude oil traded near $77 per barrel, while gold rose $12 to $1848 per ounce.

Stocks were mixed on Wednesday morning amid new manufacturing data and hawkish comments from Fed officials that pointed to an extended rate hike campaign. The Institute for Supply Management said that its manufacturing PMI rose to 47.7 in February, up slightly from 47.4 in January but below the Reuters consensus forecast of 48.0. Readings below 50 indicate contraction in manufacturing. The Dow rose 0.2%, the S&P fell 0.2%, and the Nasdaq fell 0.3%. Crude oil traded near $77 per barrel, while gold rose $12 to $1848 per ounce.

The major blue-chip indices (SPX, OEX, NYSE, INDU) as well as the S&P 400 MidCap (MDY) and the small-cap Russell 2000 (IWM) all remain in nice bullish channels off their respective October lows. The Nasdaq as well as the Nasdaq 100 (QQQ) have traced out higher highs and higher lows, but continue to have a difficult time generating a lot of upside.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Small- and mid-cap stocks (SMID stocks) have underperformed large-caps over the past 12 months, but still may be in a better position to generate market-beating returns going forward. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine. As well, the prices of SMID stocks generally are lower than the prices of large-caps. SMID stocks can be risky -- and large-caps outperformed SMID stocks in 11 of the 19 years in our test period. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 12%-15% of the U.S. stock market's capitalization is comprised of SMID stocks. For our purposes, we use a threshold of $20 billion to define a SMID stock.

Small- and mid-cap stocks (SMID stocks) performed poorly last week, as the Russell 2000 (ETF is IWM) declined 6% and is close to its year-to-date lows. Thus far in 2022, the index is down 25.2%, slightly worse than the S&P 500 ETF SPY, which is off 22.5%. But looking ahead, SMID stocks may be in a better position than large-caps to regain lost ground. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine. For another, the prices of SMID stocks generally are lower than the prices of large-caps, as the P/E ratio on the Russell 2000 Small-Cap Index is 16 compared to a P/E of 27 for the S&P 500. Finally, the long-term record has favored SMID stocks over large-caps. From 2003-2021, the Russell 2000 had climbed 511%, compared to an advance of 450% for the S&P 500. Here are a handful stocks with market caps below $20 billion that are on the Argus BUY list.

Monday Tee-Up: Key Inflation Data, CPI & PPI

Stocks continued to fall sharply on Monday morning amid a range of economic and geopolitical negatives, as investors awaited new inflation data later this week. On the earnings front, Tyson shares rose modestly after the company posted better-than-expected fiscal 2Q results, helped by soaring meat prices, and raised its full-year sales guidance. The Dow fell 1.8%, the S&P 2.7%, and the Nasdaq 3.5%. Crude oil fell more than 4% to $104.50 per barrel, while gold traded near $1862 per ounce.

Stocks gave up early gains on Wednesday morning as investors continued to watch developments in Ukraine, and Western nations imposed a first round of sanctions on Russia. On the earnings front, Lowe's shares rose 3% after the home improvement retailer posted better-than-expected 4Q results and raised its sales and earnings guidance for 2022. The Dow fell 0.1%, the S&P 0.4%, and the Nasdaq 0.5%. Crude oil traded near $92 per barrel, while gold rose $3 to $1911 per ounce.

This edition features Broadridge's potential, trends in utility companies, new coverage of Datadog, and Eastman, Atlassian, and Comcast.

Stocks rose on Wednesday morning. The Consumer Price index showed prices rose 7% year-over-year in December, up from November's 6.8% rise. Excluding food and energy prices, consumer prices rose 5.5%. The Dow rose 0.8%, the S&P 500 rose 0.3%, and the Nasdaq was up 0.3%. Crude oil traded above $82 per barrel, while gold rose $4 to $1823 per ounce.

After September's nearly 5% decline, the S&P 500 is off to the races in October. From a sector perspective, early fourth-quarter leadership remains with the year's winners. Energy is out in front, with a 9% gain in just two weeks of 4Q21 trading; that has pushed the sector's market-leading annual gain past 53%. There's a long climb back for Energy, which fell 40% in 2020.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks were mixed on Thursday morning following news that the Biden administration would support intellectual property waivers on coronavirus vaccines. Pfizer and Moderna shares were down sharply, though JNJ was flat. On the employment front, the Labor Department said that first-time claims for state unemployment benefits fell to 498,000 for the week ended May 1, down from 590,000 a week earlier and below the Bloomberg consensus of 538,000. The Dow rose 0.4%, the S&P rose 0.1%, and the Nasdaq fell 0.3%. Crude oil fell 1% to $65 per barrel, while gold traded near $1815 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks fell on Monday morning, retreating from record levels amid valuation concerns and uncertainty about the final days of the Trump administration and the House plan to move forward on a second impeachment. Twitter shares fell more than 6% after the company permanently suspended President Trump's account. The Dow fell 0.4%, the S&P 0.5%, and the Nasdaq 0.8%. Crude oil traded near $52 per barrel, while gold rose $12 to $1848 per ounce.

Stocks fluctuated on Tuesday morning as the U.S. death toll from the coronavirus rose to more than 200,000, and new cases continued to rise in many states and countries. On Capitol Hill, Fed Chair Jerome Powell said that prospects for the U.S. economy remained 'highly uncertain' and that a full recovery would come only when the virus was brought under control and people felt 'safe to reengage in a broad range of activities.' In a separate speech, Chicago Fed President Charles Evans said that the U.S. risked a longer and slower recovery if Congress failed to pass a new fiscal stimulus package. The Dow fell 0.3%, the S&P rose 0.1%, and the Nasdaq rose 0.2%. Crude oil traded near $39 per barrel, while gold fell slightly to $1909 per ounce.