The Weekend Rip: It’s Earnings Season

Good evening, everyone.

Earnings season kicks off as the major banks get ready to report. JP Morgan and Citi will release numbers Tuesday morning, Bank of America and Goldman Sachs on Wednesday.

The major airlines are also expected to report. We’ll see what those executives say about the status of the industry. See the earnings calendar below.

Stocks rallied strong last week. Are we heading back to new highs? Place your bets…

Here’s the weekly S&P 500 chart:

S&P 500	3,477	+3.84%
Nasdaq	11,579	+4.56%
Russell 2000	1,637	+6.38%
Dow Jones	28,586	+3.27%

Weekly Percent Changes

Sector Check-In

Technology is the best performing sector in 2020. Energy is the worst. Who would’ve guessed? 🤷‍♂️

Here’s the YTD performance of the Select Sector SPDR ETFs:

Technology ($XLK) +32%
Consumer Discretionary ($XLY) +23%
Communications ($XLC) +13%
Materials ($XLB) +10%
Health Care ($XLV) +8%
Consumer Staples ($XLP) +6%
Utilities ($XLU) +1%
Industrials ($XLI) +1%
Real Estate ($XLRE) -2%
Financials ($XLF) -16%
Energy ($XLE) -46%

Elections and Markets

The US Presidential election is less than a month away. Who knows what’ll happen to the markets the morning of November 4.

Jamie Catherwood writes all about the historical relationship between markets, elections and politics on this week’s Sunday Reads.

Here’s a snippet of his post:

I always find it interesting when a certain asset or instrument can be used as a gauge for predicting the outcome of a certain event like elections, wars, etc. For example, this chart from Bloomberg is just one of thousands on this topic: