Stock futures were not changing much on Monday after the S&P 500 had a very good week in 2024. The S&P 500, Dow Jones Industrial Average, and Nasdaq 100 were all staying about the same after a busy week of economic news. This came before a big speech from Fed Chair Jerome Powell. Stocks did well last week after a tough time for the market. They went up by 3.9%, which was the best since 2023. The Nasdaq Composite and Dow also went up by 5.2% and 2.9%.
The market needed some good news to recover, and it got that with good retail sales, fewer jobless claims, and good results from Walmart. Last week’s rally happened after a scary start to August. Bad data made people worry about a recession and the Fed cutting rates too late. But last week’s data calmed things down. The inflation rate went down to 2.9%, the lowest in over three years. Now, people are waiting for Powell’s speech in Jackson Hole, Wyoming, and the Federal Reserve’s meeting minutes on Wednesday. Earnings season is also continuing with Palo Alto Networks and Estee Lauder reporting on Monday.
Vocabulary List:
- Futures /ˈfjuː.tʃərz/ (noun): Financial contracts obligating the buyer to purchase an asset at a predetermined price at a specified time in the future.
- Rally /ˈræli/ (noun): A period of sustained increases in the prices of stocks or bonds.
- Recession /rɪˈsɛʃ.ən/ (noun): A period of temporary economic decline during which trade and industrial activity are reduced.
- Inflation /ɪnˈfleɪ.ʃən/ (noun): The rate at which the general level of prices for goods and services is rising.
- Claims /kleɪmz/ (noun): A demand for something as due or believed to be due.
- Economic /ˌiː.kəˈnɒm.ɪk/ (adjective): Related to the economy of a country or region.
How much do you know?
