✅ Written by Austin DeNoce, Markets Reporter, Walk-On Holdings

✅ Edited by Casimir Stone, Creative Director Walk-On Holdings

For the Third Week In July, the Markets Will Be Watching…

…as the second-quarter earnings season explodes onto the scene.

On the heels of Friday’s unofficial kick-off in the form of reports from Citi (C), JPMorgan (JPM), and Wells Fargo (WFC), we’ll head into the busiest earnings schedule in months. The majority of America’s biggest financial firms will check in throughout the week, joined by a slew of regional names.

These reports will set the tone for the market this week and in weeks to come. The likes of BlackRock (BLK) and Goldman Sachs (GS) (reporting Monday), Bank of America (BA) and Morgan Stanley (MS) (reporting Tuesday), Blackstone (BX) (reporting Thursday), and more have widespread exposure to a myriad of sectors, not to mention consumers at large. As such, their earnings serve as a bellwether for the health of the broader economy.

But beyond banks, a number of other major companies will turn in report cards, such as UnitedHealth (UNH) on Tuesday, Netflix (NFLX), and Taiwan Semiconductor Manufacturing Company (TSM) on Thursday. 

UnitedHealth, the heaviest-weighted component of the Dow Jones Industrial Average, managed a revenue beat in Q1 despite reeling from a cyberattack in February that brought large swaths of the healthcare industry to a grinding halt. If it continues its positive momentum into Q2, it could provide a much-needed boost to the Dow, which has lagged behind its fellow major indexes, the S&P 500 and Nasdaq Composite, which have seen a strong streak of record closes in recent months. 

Netflix will be closely-watched as well. Many streamers have struggled lately, exploring strategies like bundling services, cracking down on password-sharing, and hiking subscription prices to boost numbers and ward off churn. Nevertheless, analysts have high expectations for Netflix’s report, especially given its foray into the world of sports streaming.  In May, Netflix landed a deal to carry the NFL’s Christmas Day games for three years. 

Finally, TSMC will be the first chipmaker of the second quarter to report. With fellow giants like NVIDIA, AMD, and Super Micro Computer on unprecedented rallies, TSMC’s report will clue investors in as to whether the AI hype is losing steam or just getting started.

Also on the economic calendar…

Monday, July 15

It will be another busy week of Fed Speak ahead of next week’s “Blackout Period,” when Federal Reserve officials cease to make public comments before their July policy meeting. Fed Chair Jerome Powell will speak on Monday, his first opportunity to comment on last week’s blockbuster CPI report, which showed monthly prices decreasing for the first time in four years.

In addition to BlackRock and Goldman Sachs, several regional banks will report earnings.

Tuesday, July 16

Markets will get a look at the state of consumer spending, with Retail Sales for June and Business Inventories for May. We’ll also get a well-rounded peek at the housing market, with both the NAHB Housing Market Index and Redbook due.

Several major firms will join UnitedHealth, Bank of America, and Morgan Stanley in reporting earnings, including Charles Schwab (SCHW), PNC Financial (PNC), and State Street (STT).

Wednesday, July 17

The housing data will keep rolling in, with preliminary estimates of Building Permits and Housing Starts, as well as the weekly update on the 30-year fixed-rate mortgage.

In earnings, Johnson & Johnson (JNJ) and U.S. Bancorp (USB) will report.

Thursday, July 18

Initial and continuing jobless claims are due. Although unemployment remains low on a historic basis, it has gradually ticked up this year, suggesting a softening job market.

In earnings, Domino’s Pizza (DPZ) and several regional banks will join Blackstone, Netflix, and TSMC in reporting.

Friday, July 19

The week of Fed Speak will conclude with speeches from New York Fed President John C. Williams and Atlanta Fed President Raphael Bostic.

In earnings, American Express (AXP) and Schlumberger (SLB) will report.