Three Things to Watch
- Earnings season is in full swing with approximately 180 S&P 500 members reporting, including five members of the Magnificent 7. Wednesday will feature big tech names Meta, Microsoft, Google and Amazon, with Apple on Thursday. Earnings continue to surprise on the upside and have been marked higher for the full year several times. The aggregate earnings surprise for the S&P 500 this quarter (so far) is over 10%, and 78% of companies reporting have had a positive surprise.
- The U.S. Federal Reserve (Fed) will meet Tuesday and Wednesday for the last time with Jerome Powell as chair. No move is widely expected, and futures continue to reflect the sentiment that the Fed will be on hold all year.
- The Senate will vote on Kevin Warsh’s nomination as Fed Chair, which raises the possibility of a change in tone in monetary policy going forward.
Three Things to Know
- With the exception of Bitcoin, every major asset class is now in positive territory on the year. (Source: Charlie Bilello)
- SpaceX is looking to go public somewhere near a $1.75 trillion valuation—that’s about 2.5% of the entire market cap of the U.S. stock market, and roughly 5.5% of U.S. gross domestic product. (Source: J.C. Parets)
- For the first time in history, there are 60+ large empty crude oil tankers bound for the United States. U.S. crude exports are up by 2.5 million barrels per day since the Iran War began. U.S. big oil will see its most profitable year on record in 2026. (Source: The Kobiessi Letter)
The above information reflects the current opinion of the author. It is based upon sources and data believed to be accurate and reliable. Opinions and forward-looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security mentioned.