Top Ten: Weekend reads: Prepare for a big week — a crucial Federal Reserve decision, tech-company earnings and a GDP report

by | Jul 22, 2022 | Stock Market

It was mostly a week for stocks, particularly a rebound in the tech-heavy Nasdaq Composite Index, as companies topped expectations on second-quarter earnings.  The coming week brings a heavy dose of tech-company earnings, the Federal Reserve’s meeting on Tuesday and Wednesday, and the first reading on second-quarter GDP on Thursday.

Fed officials are expected to raise the fed funds rate by 0.75 percentage point on Wednesday, bringing it to a range of 2.25%-2.5%. But what comes after that? Here’s all you need to know: The Fed could get lucky or things may go wrong. A guide to where the economy might go from here Almost all the economic numbers line up: A U.S. recession is likely And a word of caution on inflation: The Fed’s rate hikes alone won’t cure inflationWhat’s the outlook for the stock market after a big rally? The S&P 500
and the Dow Jones Industrial Average
closed Thursday at their highest level since June 9 (June 8 for the Nasdaq
) before pulling back on Friday. The good news is that the stock market’s valuation has improved markedly. Even so, stocks simply haven’t gotten cheap enough to warrant a revival of a bull market, says Mark Hulbert. Still, some argue that key benchmarks have already hit bottom. Here’s what pros have to say about that. Regardless of what you think, develop your plan now for how you’ll decide when it’s time to get back into stocks. Then there’s this: A strong dollar is stirring trouble in markets: What investors need to know An alternative: Here’s why you should buy junk bonds now: a compelling dividend yield and the potential for big gainsWhat we’ve learned from this week’s earnings

MarketWatch photo illustration/Getty Images, iStockphoto

Start with signs that supply-chain woes are easing. But the dollar is a headwind, and those dismal Snap earnings offer a broader warning for tech investors. Get the full story here. More: As Snap
melts down, its founders make sure to protect the people who matter: themselves Plus: Tesla’s
margins shrink despite ‘embarrassing’ price increases, putting Elon Musk in a tough spotWhy investors s …

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