Key Events This Week
Effective August 7! As tariff concerns and a slowdown in job growth weigh on the market, can U.S. stocks regain their upward momentum?
According to CCTV News, on July 31st, the White House issued an executive order, resetting the 'reciprocal tariff' rate standards for certain countries: countries listed in Attachment 1 of the executive order will apply individual rates, while unlisted countries will be subject to a uniform 10% rate; if any country or region attempts to evade tariffs through transshipment, their commodities will be subject to a 40% transshipment tax. The White House announcement stated that the new tariffs will not take effect until August 7th, providing another window for countries to attempt negotiations to lower the tariffs.
The list released by the White House shows that major economies such as the EU and Japan, which have reached agreements with the U.S., will receive relatively favorable tariff arrangements. Switzerland and South Africa will face punitive tariffs as high as 39% and 30%, respectively. India will be subject to a 25% tariff, and Taiwan and Vietnam will see a 20% tariff on their commodities. Cambodia, Thailand, Malaysia, and Indonesia will face a 19% tariff.
This week, all three major U.S. stock indices recorded declines, with the S&P 500 Index falling 2.4%, its worst performance since May 23; the Dow Jones Industrial Average dropped 2.9%, marking its worst week since April 4; and the Nasdaq Composite fell 2.2% for the week.
The market turning point occurred on Friday when the U.S. July non-farm employment data was significantly lower than expected, and the May and June employment figures were also revised downward. This dampened market optimism about a strong economy and reignited the possibility of a Federal Reserve rate cut in September.
Industry insiders believe that U.S. stocks may continue their downward trend in the short term. First, concerns over a U.S. economic 'recession' have increased, leading to a decline in investor risk appetite and potential sell-off of risk assets. Second, although the market hopes for a rate cut by the Federal Reserve to stimulate the economy, Fed Chair Jerome Powell is unlikely to signal a clear rate cut soon. Third, U.S. stocks have been at historical highs, making investors more sensitive to negative factors. Additionally, the peak in U.S. bond issuance in August and September may push up interest rates and divert funds, putting pressure on the U.S. stock market.
Federal Reserve officials made a series of statements, fueling expectations for a rate cut in September.
The July non-farm payrolls report altered investors' views on the U.S. job market, indicating a shift from robust growth to a notable slowdown. As a result, expectations for a Federal Reserve rate cut in September have increased.
On August 1, the U.S. Department of Labor released the July non-farm employment data, which showed an increase of 73,000 jobs, significantly below expectations. The previous two months' data were revised downward by 258,000 jobs. The sudden slowdown in the U.S. labor market led to a sharp drop in the yield on two-year U.S. Treasury bonds, falling by 25 basis points to 3.71%.
Prior to the release of the July non-farm employment data, the U.S. Department of Commerce announced that the core Personal Consumption Expenditures (PCE) price index, a key inflation indicator, rebounded more than expected in June, rising 2.8% year-over-year, above the market expectation of 2.7%. This had previously reduced market expectations for a Federal Reserve rate cut in September.
Currently, investors are closely monitoring upcoming key U.S. economic data to assess inflation pressures and the state of the labor market. On August 5, the Institute for Supply Management (ISM) will release the July Non-Manufacturing Purchasing Managers' Index (PMI).
In the meantime, several Federal Reserve officials will speak next week, including St. Louis Fed President James Bullard, who has a vote on the Federal Open Market Committee (FOMC) in 2025. Previously, Bullard indicated that the impact of tariffs on inflation would take some time to materialize, showing a cautious stance on rate cuts. With the cooling of the U.S. labor market, the market will be closely watching whether his stance on the future path of U.S. interest rates will change.
With over half of the Q2 earnings reports disclosed, can the U.S. stock market spark a new rally?
The Q2 earnings season is more than halfway through, and so far, about 81% of companies have exceeded analysts' expectations, higher than the average of 76% over the past four quarters.
$Meta Platforms(META.US)$ and $Microsoft(MSFT.US)$ Both tech giants reported strong earnings this week, leading to a significant rise in their stock prices. In contrast, $Amazon(AMZN.US)$ and $Apple(AAPL.US)$ the stock price declined after the release of its quarterly report.
Next week, Dow Jones component stocks $Disney(DIS.US)$ 、 $McDonald's(MCD.US)$ and $Caterpillar(CAT.US)$ will release earnings reports, providing investors with a window into the overall economy.
Additionally, $Palantir(PLTR.US)$ 、 Advanced Micro Devices (AMD.US)、 Super Micro Computer (SMCI.US)、 $Pfizer(PFE.US)$ 、 a "Buy" rating for $Uber Technologies (UBER.US)$ 、$Applovin(APP.US)$ 、 $Tempus AI(TEM.US)$ Earnings reports for other popular companies will also be released in the coming period.
In Europe, pharmaceutical giant Novo-Nordisk A/S (NVO.US) Novo-Nordisk A/S will release its earnings reports on Wednesday. The company's stock price has plummeted by over 32% this week due to a downward revision of its performance guidance for the year. Novo-Nordisk A/S's main competitor Eli Lilly and Co (LLY.US) Earnings reports will be released on Thursday. Investors are questioning whether Novo-Nordisk's performance indicates that Eli Lilly and Co is eroding its market share, or if both companies have reached their peak in the GLP-1 weight loss drug market.
In the Hong Kong stock market, China's 'semiconductor foundry duopoly' $Semiconductor Manufacturing International Corporation(00981.HK)$ 、 $HUA HONG SEMI(01347.HK)$ will release Q2 earnings. Additionally, the biopharmaceutical giant $BEIGENE (06160.HK)$ , and the catering giant $YUM CHINA(09987.HK)$ Earnings reports for Palantir will also be released.
Key Earnings Calendar for the New Week
August 4, Monday
Key points: Palantir Earnings Reports, Canadian stock market closed
On Monday, economic data including the U.S. June factory orders and the Eurozone August Sentix Investor Confidence Index will be released.
In terms of earnings, several U.S. companies will release their reports. $Palantir(PLTR.US)$、 $Hims & Hers Health (HIMS.US)$ 、 $Navitas Semiconductor (NVTS.US)$ Earnings Reports will be released after the market close; HKEX ASIAINFO TECH (01675.HK) 、 $CLP HOLDINGS(00002.HK)$ Earnings reports will be released.
Due to the Civic Holiday, the Canadian stock market will be closed for the entire day.
Tuesday, August 5
Key Points: July ISM Non-Manufacturing PMI, Earnings Reports from Pfizer/AMD/Super Micro Computer
On Tuesday, economic data to be released includes the U.S. July ISM Non-Manufacturing PMI and the final reading of the S&P Global Services PMI for July. Additionally, China's S&P Global Services PMI for July will be announced.
In terms of earnings, several U.S. companies will release their reports. $Pfizer(PFE.US)$ 、 Advanced Micro Devices (AMD.US) 、 Super Micro Computer (SMCI.US) Earnings Reports will be released; $YUM CHINA(09987.HK)$ 、 CHINA TOWER (00788.HK) Earnings reports will be released.
新股方面，疫苗公司 $Zhonghui Biologic-B (02627.HK)$申购结束。
8月6日 周三
关键词：优步/诺和诺德/迪士尼发布业绩、印度央行利率决议
周三，经济数据方面，美国7月全球供应链压力指数、美国至8月1日当周EIA原油库存将出炉。
财经事件方面，印度央行利率决议将公布。
In terms of earnings, several U.S. companies will release their reports. a "Buy" rating for $Uber Technologies (UBER.US)$ 、 Novo-Nordisk A/S (NVO.US) 、 $Disney(DIS.US)$ 、 $Applovin(APP.US)$ 、 (SHOP.US) Major industry players will be releasing their earnings reports; $YUM CHINA(09987.HK)$ 、 CHINA TOWER (00788.HK) Earnings reports will be released.
Thursday, August 7
Keywords: reciprocal tariffs, Semiconductor Manufacturing International Corporation/Eli Lilly and Co. earnings releases, U.S. initial jobless claims, Bank of England interest rate decision
On Thursday, key economic data will be released, including the U.S. initial jobless claims for the week ending August 2 and the Bank of England's interest rate decision as of August 7.
In terms of financial events, the U.S. will begin implementing 'reciprocal tariffs,' and 2027 FOMC voter and San Francisco Fed President Mary Daly will deliver a speech. Additionally, 2027 FOMC voter and Atlanta Fed President Raphael Bostic will participate in an online fireside chat with the Florida Chief Financial Officers Association on monetary policy.
Regarding earnings reports, U.S. stocksEli Lilly and Co (LLY.US) 、 $Vistra Energy(VST.US)$ 、 $NEBIUS(NBIS.US)$ 、 $D-Wave Quantum(QBTS.US)$ 、 $Rocket Lab(RKLB.US)$ 、 $SoundHound AI(SOUN.US)$ Earnings reports from popular companies such as $Rocket Lab(RKLB.US)$ and $SoundHound AI(SOUN.US)$ will be released successively; the domestic 'dual giants' of wafer foundry in the Hong Kong stock market, HUA HONG SEMI and Semiconductor Manufacturing International Corporation, will also release their earnings. $Semiconductor Manufacturing International Corporation(00981.HK)$ 、 $HUA HONG SEMI(01347.HK)$ Q2 Earnings Reports are set to be released.
In terms of new listings, Guangdong Hec Technology Holding (06887.HK) is listed on the Hong Kong Stock Exchange, and$Zhonghui Biologic-B (02627.HK)$the allotment results have been announced.
August 8, Friday
Keywords: TEM Earnings Reports, Zhonghui Biopharma's Hong Kong IPO, Federal Reserve Governor Mousalem's Speech
On the financial front, 2025 FOMC voter and St. Louis Fed President Mousalem will deliver a speech.
In terms of earnings, several U.S. companies will release their reports. $Tempus AI(TEM.US)$ 、 $FuboTV(FUBO.US)$ Earnings Reports will be released; $HUTCHTEL HK (00215.HK)$ Earnings reports will be released.
In the IPO segment,$Zhonghui Biologic-B (02627.HK)$a new listing on the Hong Kong Stock Exchange.
Stay ahead of the financial news and discover investment opportunities early! Open Futubull > Market > US Stocks >Financial Calendar/Select key macroeconomic data, and seize the investment opportunities early!
Wishing all mooers a successful week of investing!
编辑/rice
