Stock futures are little changed after S&P 500 notches fourth-straight winning session

Published On Sep 12, 2024, 6:02 PM

On Friday, stocks finished the week on a positive note with significant gains in utilities, real estate, and consumer staples sectors of the S&P 500 reaching 52-week highs. Walmart saw remarkable growth, with shares increasing to an all-time high as it reported a 53% gain year-to-date. The Federal Reserve is anticipated to announce rate cuts, which some experts argue should be more aggressive. Bank of America suggests that upcoming meetings may not yield significant insights into future policy. Highlights included strong performance from RH after better-than-expected quarterly results and Oracle's increase in revenue forecasts, while shares of Adobe plunged due to disappointing guidance despite meeting earnings expectations.

Stock Forecasts

Walmart has shown remarkable strength and continues to lead the consumer staples sector, benefiting from robust consumer demand and favorable market conditions. The expectation of rate cuts enhances its attractiveness as a defensive stock.

Oracle has raised its revenue forecast substantively, which might attract long-term investors looking for growth in software services, particularly in cloud solutions.

Adobe's shares dropped significantly after it issued disappointing forward guidance. The downgrade in expectations might result in continued selling pressure on the stock in the near term.

RH's substantial gains following positive earnings suggest strong consumer demand in the home furnishings sector, potentially leading to more upward momentum as market conditions remain favorable.

Moderna's recent downgrade from JPMorgan indicates negative sentiment around its future revenue, which could lead to further declines in the stock price as market confidence wanes.

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