Well, we made it through another week. Let's look back at some of the highlights (and lowlights) and look ahead to what we can expect starting Monday morning.
The Dow Jones Industrial Average this week finally broke its streak of nine consecutive days of closing in the green. After "Super" Mario Draghi and his European Central Bank colleagues stood pat on cutting rates or adding stimulus Thursday, the Dow finally took a breather and closed in the red. However, both the Dow and the S&P 500 still managed to hit new all-time closing highs during the week.
In the tech sector, Netflix (NFLX) once again disappointed investors with a miss on the number of subscribers added during the latest quarter. NFLX also lowered guidance for the current quarter, while IBM (IBM) was IBM and did nothing much at all.
Skyworks Solutions (SWKS) got hard despite offering in-line earnings and guidance amid a tough economic climate globally, but Microsoft (MSFT) was absolutely brilliant -- showing that CEO Satya Nadella is the real deal. Another pleasant surprise: We didn't hear many companies use the Brexit vote as an excuse for poor results.
Now, this past week was certainly busy from an earnings perspective, with about 100 of the S&P 500's component companies reporting quarterly results. But just wait until next week, when we'll have some of the biggest tech and tech-related companies reporting, including:
- Apple (AAPL) , Twitter (TWTR) , Juniper Networks (JNPR) and Citrix Systems (CTXS) , which all plan to release results on Tuesday.
- Comcast (CMCSA) and Corning (GLW) , which expect to report before the opening on Wednesday. Facebook (FB) , Groupon (GRPN) , GoPro (GPRO) , Lam Research (LRCX) , NXP Semiconductors (NXPI) and Shutterfly (SFLY) all also intend to release results later in the day after the close.
- Alphabet (GOOG) , (GOOGL) , Amazon (AMZN) , Baidu (BIDU) and Expedia (EXPE) all plan to report after the closing bell on Thursday.
Tech investors will finally get to break from earnings on Friday, but if you think that's all that we have on tap next week, you're wrong.
Tuesday and Wednesday will bring us the two-day Federal Open Market Committee, with any rate-hike decision expected at 2 p.m. ET on Wednesday. Now, it's been my opinion that Fed rate-hike talk that has been hindering markets (especially here at home) for the past two years. I think the market's gains over the past month or so since the Fed backed off of threats to imminently raise rates have mostly confirmed this thesis.
And while markets have widely viewed the lack of further easing by the ECB and the Bank of England as a disappointment, I believe those banks will soon find themselves forced to ease again -- perhaps as early as next month.
Most investors also expect a two-day Bank of Japan meeting this coming Thursday and Friday to see the BoJ keep lowering rates or offering some other form of monetary stimulus. We shall see.
Of course, we'll also have the usual plethora of economic data come out both at home and abroad next week -- but let's not worry about all of this until Monday morning. In the meantime, I wish each and every one of you a safe and joyful weekend with your loved ones!