Latest news with #AnthonySaglimbene
Reuters
17-07-2025
- Business
- Reuters
S&P 500, Nasdaq end at fresh record highs as data, earnings point to consumer strength
July 17 (Reuters) - The S&P 500 (.SPX), opens new tab stock index and the Nasdaq Composite (.IXIC), opens new tab both finished at record highs on Thursday, as investors embraced strong economic data and earnings reports that showed American consumers remained willing to spend. The Nasdaq has ended at a record high in six of the previous seven sessions, and the S&P 500 has had six best finishes since June 27. The Nasdaq Composite (.IXIC), opens new tab gained 153.78 points, or 0.74%, to 20,884.27, and the S&P 500 (.SPX), opens new tab increased 33.66 points, or 0.54%, to 6,297.36. The Dow Jones Industrial Average (.DJI), opens new tab also ended up, rising 229.71 points, or 0.52%, to 44,484.49. Wall Street has had a strong run since tumbling after President Donald Trump's Liberation Day tariff announcements in early April and then recovering. This week was seen as a proving ground for these gains though, with a number of key economic reports and the start of second-quarter earnings season. Economic data and corporate earnings reports "are showing that the economic backdrop is still pretty solid, and so markets have been able to grind higher this week with some data to support where we are going," said Anthony Saglimbene, chief market strategist at Ameriprise Financial. U.S. retail sales bounced back sharply in June, data showed on Thursday. Investors saw renewed economic momentum and confidence among consumers, after mixed inflation data which showed stalled producer prices and a spike in consumer inflation in the same month. Investors have been watching for signs of whether Trump's tariff policies are starting to permeate the U.S. economy. The Federal Reserve has indicated it will hold off on interest rate cuts until it can see the inflationary impact of higher import taxes. This was reiterated on Thursday by Fed Governor Adriana Kugler, who said rate cuts are on hold for now, as Trump's tariffs begin to push up consumer prices. Traders now peg the odds of a September rate cut at around 54%, with a July move nearly ruled out, according to CME's FedWatch tool. Accompanying strong retail sales was upbeat commentary from consumer-facing American companies. PepsiCo (PEP.O), opens new tab jumped 7.5% after forecasting upbeat results, fueled by demand for energy drinks and healthier sodas, helping offset concerns about a dip in annual core profit. United Airlines (UAL.O), opens new tab gained 3.1% after the carrier projected stronger demand since early July, offering a rare bright spot for an industry strained by Trump's budget cuts and trade tensions. Rivals Delta (DAL.N), opens new tab and American Airlines (AAL.O), opens new tab also climbed more than 1.4%. Technology stocks were also buoyed, in particular U.S. chipmakers, after TSMC ( opens new tab, the world's main producer of advanced AI chips, posted a record quarterly profit, saying demand for artificial intelligence was getting stronger. U.S.-listed shares of TSMC gained 3.4%, as Marvell (MRVL.O), opens new tab rose 1.6% and Nvidia (NVDA.O), opens new tab increased 1%. Ameriprise's Saglimbene said the blowout TSMC earnings bode well for chipmakers and the wider technology sector. "Before we get all the Big Tech earnings in the next week or two, you're seeing the single source of production of those (AI) chips saying their demand is very strong. So the set-up for Big Tech is pretty positive, which is why technology is leading on the day today," he added. Both the technology (.SPLRCT), opens new tab and industrials (.SPLRCI), opens new tab indexes finished at record highs on Thursday, although the leading sector of the nine which ended in positive territory was financials (.SPSY), opens new tab, with a 0.9% advance. Netflix climbed 1.9%. After the bell, it reported earnings above forecasts, aided by the final season of global phenomenon "Squid Game".
Reuters
17-07-2025
- Business
- Reuters
S&P 500, Nasdaq end at record highs as data, earnings point to consumer strength
July 17 (Reuters) - The S&P 500 (.SPX), opens new tab stock index and the Nasdaq Composite (.IXIC), opens new tab both closed at record highs on Thursday, as investors embraced strong economic data and earnings reports that showed American consumers remained willing to spend. The Nasdaq has ended at a record high in six of the previous seven sessions, and the S&P 500 has had six best finishes since June 27. According to preliminary data, the S&P 500 (.SPX), opens new tab gained 35.32 points, or 0.56%, to end at 6,299.02 points, while the Nasdaq Composite (.IXIC), opens new tab gained 157.25 points, or 0.76%, to 20,887.74. The Dow Jones Industrial Average (.DJI), opens new tab rose 247.64 points, or 0.56%, to 44,502.42. Wall Street has had a strong run since tumbling after President Donald Trump's Liberation Day tariff announcements in early April and then recovering. This week was seen as a proving ground for these gains though, with a number of key economic reports and the start of second-quarter earnings season. Economic data and corporate earnings reports "are showing that the economic backdrop is still pretty solid, and so markets have been able to grind higher this week with some data to support where we are going," said Anthony Saglimbene, chief market strategist at Ameriprise Financial. U.S. retail sales bounced back sharply in June, data showed on Thursday. Investors saw renewed economic momentum and confidence among consumers, after mixed inflation data which showed stalled producer prices and a spike in consumer inflation in the same month. Investors have been watching for signs of whether Trump's tariff policies are starting to permeate the U.S. economy. The Federal Reserve has indicated it will hold off on interest rate cuts until it can see the inflationary impact of higher import taxes. This was reiterated on Thursday by Fed Governor Adriana Kugler, who said rate cuts are on hold for now, as Trump's tariffs begin to push up consumer prices. Traders now peg the odds of a September rate cut at just over 54%, with a July move nearly ruled out, according to CME's FedWatch tool. Accompanying strong retail sales was upbeat commentary from consumer-facing American companies. PepsiCo jumped after forecasting upbeat results, fueled by demand for energy drinks and healthier sodas, helping offset concerns about a dip in annual core profit. United Airlines (UAL.O), opens new tab gained after the carrier projected stronger demand since early July, offering a rare bright spot for an industry strained by Trump's budget cuts and trade tensions. Rivals Delta (DAL.N), opens new tab and American Airlines (AAL.O), opens new tab also climbed. Technology stocks were also buoyed, in particular U.S. chipmakers, after TSMC ( opens new tab, the world's main producer of advanced AI chips, posted a record quarterly profit, saying demand for artificial intelligence was getting stronger. U.S.-listed shares of TSMC gained, as did Marvell (MRVL.O), opens new tab and Nvidia (NVDA.O), opens new tab. Ameriprise's Saglimbene said the blowout TSMC earnings bode well for chipmakers and the wider technology sector. "Before we get all the Big Tech earnings in the next week or two, you're seeing the single source of production of those (AI) chips saying their demand is very strong. So the set-up for Big Tech is pretty positive, which is why technology is leading on the day today," he added.
Bloomberg
20-06-2025
- Business
- Bloomberg
S&P 500 Trading Volume Spikes at Wall Street Close
Bloomberg Television brings you the latest news and analysis leading up to the final minutes and seconds before and after the closing bell on Wall Street. Today's guests are Anthony Saglimbene, Ameriprise Financial, Chris O'Cull, Stifel Financial, Jacob DeWitte, Oklo, Ray Takeyh, Council on Foreign Relations, Cole Smead, Smead Capital Management, Que Nguyen, Research Affiliates, Sonali Theisen, Bank of America, Joe Mathieu, Bloomberg News, Kim Wallace, 22V Research, Ice Cube, Big3, Jennifer Openshaw, Girls With Impact. (Source: Bloomberg)
Yahoo
28-05-2025
- Business
- Yahoo
S&P 500 Forecast Cut to 5,900 Over Trade Worries
The S&P 500 is set to tread water around 5,900 by year-end, Reuters' poll of 51 equity strategists shows, as tariff jitters and debt worries clip upside. Conducted May 1528, the survey points to a median 2025 target of 5,900a 9.2% cut from February's 6,500 estimatedespite the index trading in the mid-5,900s today. Tariff uncertainty tops the list of headwinds, joined by concerns over the U.S. debt balance and Moody's recent downgrade of U.S. debt. Ameriprise's Anthony Saglimbene warns, It's very difficult to forecast given the tariff uncertainty and the changing dynamics that seem to happen daily. Strategists' sliced targets underscore how policy risk can trump earnings momentum: S&P 500 companies are still on track for mid-teens profit growth next year, but escalating trade frictions could erode that edge. Investors should care because a flat-to-down market in 2025 may force portfolio shifts away from growthier sectorsand heighten the value of defensive allocations. With Fed meetings and tariff talks heating up in H2, markets will watch for any signs of de-escalation or fresh levies that could reposition year-end levels. This article first appeared on GuruFocus. Sign in to access your portfolio
Zawya
16-05-2025
- Business
- Zawya
US stock market gains may slow after torrid rebound from tariff swoon
Market momentum following the U.S.-China trade truce has put stocks back in sight of record highs but wariness about the economic fallout from remaining tariffs and higher equity valuations could slow gains in the near term. The S&P 500 has soared 18% since hitting its low closing point for the year on April 8, erasing the benchmark index's losses for 2025 and putting it roughly 4% from its all-time peak reached in February. However, the S&P 500's price-to-earnings ratio has hit a two-month high while 2025 profit growth estimates have fallen since the start of the year. While U.S. tariffs seem less harsh than before, the import levies still could pressure corporate profits and consumer spending, causing unease about the economy, investors said. "Momentum is very strong, so it could carry markets up here," said Anthony Saglimbene, chief market strategist at Ameriprise Financial. "But I think for markets to maintain those levels it is going to be difficult because the environment is still uncertain." For now, fears of worst-case trade scenarios causing a recession are waning. The relief has fueled the market rebound after U.S. President Donald Trump's April 2 announcement of sweeping global tariffs set off dramatic volatility and sent stocks swooning. Equities got an extra kick higher this week from a 90-day U.S.-China truce reached over the weekend that slashed tariffs from over 100% on both sides, and cooled off a trade war between the world's two largest economies. The overall effective U.S. tariff on imports is down to 14% from 24% previously, according to JPMorgan economist Michael Feroli, but still above the rate of 2.3% in 2024. "The new, lower tariff rates are still a boost to inflation, and hence a depressant on real disposable income and real consumer spending," Feroli said in a note on Tuesday. With first-quarter earnings season winding down, U.S. companies have so far reported earnings well above expectations. However, analysts have trimmed full-year earnings estimates to a gain of 8.7% instead of 14% at the start of the year, according to LSEG IBES. "We've seen valuations make a roundtrip while earnings estimates have come down, so further gains are going to be harder to come by" in the short term, said Angelo Kourkafas, senior investment strategist at Edward Jones. The forward price-to-earnings ratio for the S&P 500, based on earnings estimates for the next 12 months, this week rose above 21 for the first time since early March, according to LSEG Datastream. That P/E ratio is well above the index's long-term average of 15.8 and a sharp rise from the 17.9 level it fell to at the market lows in April. "With the scope of this massive rally now, I don't know that I would chase the stock market here," said Chris Galipeau, senior market strategist at Franklin Templeton. "The risk/reward right now is not as good." Noting the market's strong rebound, UBS Global Wealth Management strategists on Tuesday downgraded U.S. equities to "neutral" from "attractive." "The economy will have to adjust to higher tariffs, and this could lead to a period of weaker economic data, which could be a modest headwind for stocks," UBS said in a note. However, some investors have turned more upbeat about stocks and the economy since the U.S.-China truce. Strategists at Goldman Sachs and Yardeni Research raised their targets this week for the S&P 500, with Yardeni eyeing 6,500 at year-end, about 10% above current levels. Odds of a U.S. recession in 2025 have fallen on online prediction market Polymarket to about 40% from 66% at the start of May. Resilient economic data have supported the rally, but upcoming reports could get more "squirrelly" as the impact of tariffs starts to become more evident, said King Lip, chief strategist at BakerAvenue Wealth Management. "In the short term, (the rally) seems a little extended," Lip said. "It seems like people believe maybe they got the all clear signal, and I'm not sure it's all clear."
