What's on the Radar for Stock Traders This Week?
The stock market is buzzing with anticipation for this week's key events. Traders are keeping a close eye on Friday's consumer price index (CPI) release. This report, usually a major market mover, was delayed due to the government shutdown but remains crucial for understanding inflation trends.
Inflation and Fed Decisions
Inflation numbers are a big deal because they influence the Federal Reserve's decisions. If the annual inflation rate comes in higher than the expected 3.1%, it could change the Fed's plans. Right now, the market is betting on a small rate cut next week. Higher inflation might make the Fed think twice about cutting rates, which could shake things up.
Defense Stocks in Focus
Meanwhile, defense stocks are in the spotlight as several major players report earnings on Friday. To get a sense of how the sector is doing, traders are looking at the iShares U. S. Aerospace & Defense ETF. This fund gives a broad view of the industry's performance.
Tesla Earnings and Stock Volatility
On Wednesday, all eyes will be on Tesla as it releases its earnings. The stock has been volatile, and traders are watching the $450 level closely. This price point could be a make-or-break for the stock's short-term direction.
NextEra Energy: A Potential Comeback?
Another stock to watch is NextEra Energy. This utility company has been lagging behind its peers but might be poised for a comeback. Traders are hoping for a breakout, which could signal a shift in the sector's dynamics.