My top 10 things to watch on Thursday, Aug. 1
1. The S&P 500 and Nasdaq were tracking for more muted gains Thursday — at least compared to Wednesday’s surges, which saw the indexes jump 1.6% and 2.6%, respectively, in their second-best sessions of 2024. It capped off a July defined by a market rotation out of tech into lagging corners of the market. The Dow had its best month of the year, climbing 4.4%. The S&P added 1.13%, while the Nasdaq lost 0.75%.
2. Wednesday’s rally was not derailed by anything the Federal Reserve did or said after its July policy meeting. While central bankers left interest rates unchanged, as expected, Fed chief Jerome Powell later said a cut could be on the table as soon as September if inflation and economic data keep trending in the right direction. On Thursday, weekly jobless claims were at the highest level in a year. Friday brings the government’s key nonfarm payrolls report.
3. Spending to make Meta AI the best. That’s the takeaway from Wednesday evening’s better-than-expected quarterly earnings and revenue and analysts’ conference call. Video for next two years will get better and better. Club holding Meta Platforms bought back $6.3 billion worth of stock and saw 3.27 billion daily active users across its family of app including Facebook and Instagram. The stock soared more than 9%. Club name Nvidia orders much bigger than expected? Would Meta take them all?
