US Stock Market Update : Nasdaq has been on hit since the fed rate has been changed and the investors are trying to make a bull Run on the higher returns. Let’s have a quick review on US Stock Market in July What Investors Need to Know
The US stock market has been on a roller coaster ride in recent months, with investors navigating a challenging economic environment. Inflation is at a 40-year high, and the Federal Reserve is expected to continue raising interest rates in an effort to cool the economy.
Despite these challenges, there are some positive signs for the stock market in July. Corporate earnings are expected to be strong, and the economy is still growing, albeit at a slower pace.
Key Updates to remember US stock market in July
Here are some of the key updates to watch in the US stock market in July :
- 1. Corporate earnings
Earnings season is in full swing, and so far, results have been mostly positive. The S&P 500 is expected to report earnings growth of 6.8% in the second quarter, according to FactSet.
- 2. Interest rates
The Federal Reserve is expected to raise interest rates by 0.75 percentage points at its meeting on July 26-27. This would be the largest rate hike since 1994.
- 3. Inflation
Inflation is expected to remain elevated in July, but it may be starting to peak. The Consumer Price Index (CPI) is expected to rise by 8.8% year-over-year in June, according to the consensus forecast.
- 4. Economic growth
The US economy is expected to grow at a slower pace in the second half of 2023. The Atlanta Fed’s GDPNow tracker is currently forecasting growth of 0.3% in the third quarter.
Overall, the US stock market is expected to remain volatile in July, but there are some positive signs that could support prices. Investors should continue to monitor corporate earnings, interest rates, and inflation for any signs of a change in trend.
Investment Ideas for August 2023 to look for :
Consumer staples :
Consumer staples stocks are often seen as defensive investments, as they tend to perform well even during economic downturns. Some top consumer staples stocks to consider include Procter & Gamble (PG), Coca-Cola (KO), and Walmart (WMT).
Healthcare:
Healthcare stocks are another defensive sector that could do well in July. Some top healthcare stocks to consider include Johnson & Johnson (JNJ), Pfizer (PFE), and UnitedHealth Group (UNH).
Technology:
- Technology stocks have been under pressure in recent months, but they could start to rebound in July. Some top technology stocks to consider include Apple (AAPL), Microsoft (MSFT), and Alphabet (GOOG)
The US stock market is facing some challenges in July, but there are also some positive signs. Investors should continue to monitor corporate earnings, interest rates, and inflation for any signs of a change in trend.
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