1 Stock to Buy, 1 Stock to Sell This Week: Salesforce, Dollar General
Stocks on Wall Street ended a volatile session higher on Friday as investors digested comments from Federal Reserve Chair Jerome Powell that the U.S. central bank may need to raise interest rates further to ensure inflation is contained.
Powell also promised to move «carefully» at upcoming meetings in his much-anticipated morning speech at the Economic Policy Symposium in Jackson Hole, Wyoming.
For the week, the benchmark S&P 500 and technology-heavy Nasdaq Composite rose 0.8% and 2.2% respectively to snap a run of three straight weekly declines. The blue-chip Dow Jones Industrial Average, on the other hand, fell 0.5% to suffer its second straight week of losses.
Next week is expected to be another eventful one as the calendar flips from August to September and investors continue to gauge the outlook for the economy, inflation, and interest rates.
On the economic calendar, most important will be Friday’s U.S. jobs report. As per Investing.com, nonfarm payrolls are forecast to rise by 170,000 in August, slowing from a gain of 187,000 in July, while the unemployment rate is seen holding steady at 3.5%.
In addition, the core personal consumption expenditures (PCE) price index, which is the Federal Reserve’s preferred inflation measure, will also be released on Thursday.
The key pieces of data will be important in determining the Fed’s next policy move. Currently, financial markets see an 80% chance of the central bank holding rates at current levels at its September meeting, according to Investing.com’s Fed Rate Monitor Tool.
Elsewhere, some of the key earnings reports to watch next week include updates from Broadcom (NASDAQ:AVGO), CrowdStrike (NASDAQ:CRWD), MongoDB (NASDAQ:MDB), Okta (NASDAQ:OKTA), Lululemon (NASDAQ:LULU),
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