Recently, US stock markets have shown positive dynamics due to strong earnings reports and retail sales data.
Rise of Major Indices
On Thursday, major US stock indices experienced growth. The Dow Jones Industrial Average increased by 180 points, or 0.4%. The S&P 500 rose by 0.48%, and the tech-oriented Nasdaq climbed by 0.79%. Much of this growth is linked to investor optimism concerning the upcoming earnings report from Netflix, which anticipates $7.07 per share in earnings.
Inflation and Consumer Confidence
Retail sales data from the Commerce Department showed a 0.6% increase in June compared to the previous month, marking a significant rebound after a 0.9% decline in May. However, it is important to note that these figures are not adjusted for inflation, which rose significantly in June. After adjusting for inflation, consumer spending rose only 0.3%.
Experts' Opinions on Economic Outlook
According to opinions from financial experts like JPMorgan Chase CFO Jeremy Barnum, consumers currently feel fairly stable, although some stress is observable in lower-income brackets. "The consumer basically seems to be fine," noted Barnum. Goldman Sachs CEO David Solomon emphasized the importance of the Federal Reserve's independence for the economy.
Thus, despite positive sales data and company profitability, there remain concerns about inflation and potential consumer pressure. Economic experts continue to recommend closely monitoring actions from the Federal Reserve.
