New York – This week, investors will closely watch as Meta CEO Mark Zuckerberg delivers a keynote address and Southwest Airlines hosts its Investor Day. The Meta Connect event on Wednesday will unveil new hardware and software from Meta’s Reality Labs division, potentially including augmented reality glasses. Analysts expect Zuckerberg to discuss Meta’s artificial intelligence plans and the integration of Meta AI.
Southwest Airlines’ Investor Day on Thursday will shed light on the airline’s strategic pivots, featuring changes like assigned seating and red-eye flights to attract new customers. Bank of America anticipates more details on the financial benefits of Southwest’s strategy reset and its impact on cash burn and debt during the transition period.
Meanwhile, the markets are digesting the Fed’s recent rate cut and speculating on future moves. Traders project at least two more quarter-point cuts by the end of the year. Friday’s release of August personal income and spending figures, including the core PCE price index, will provide more insight into inflation trends and economic health.
In the earnings realm, Micron will report fourth-quarter results, serving as an AI bellwether, while Costco will offer insights into consumer resilience amid a softening job market. Analysts are watching for guidance on revenue growth expectations for FY2025 from Micron and Costco.
Over the next few days, companies like AutoZone, KB Home, Thor Industries, and Stitch Fix will report earnings, providing further indications of market trends. Additionally, Logitech, Getty, Philip Morris, and Nucor go ex-dividend, offering income opportunities for investors.
As the third quarter comes to a close, market analysts like Scott Rubner from Goldman Sachs provide valuable insights into short-term and long-term market outlooks. Rubner suggests a cautious approach into the end of the quarter, with a target for a year-end rally to S&P 6,000. The market is expected to see increased risk appetite in the coming months, with a focus on reflation, value, energy, and emerging markets.
Overall, the week ahead is packed with investor events, economic data releases, and earnings reports that will shape market sentiment and provide signals for future trends.
