Jackson Hole

The Federal Reserve’s central banking symposium gets underway this Thursday in Jackson Hole, Wyoming. A meeting that is likely to provide a swing point for the markets. The big question is: will it clear the air for the markets on where interest rates on both sides of the Atlantic will be going into the autumn? There is hope that the message will be that the worst of the global inflation shock is behind us, but what may come out is that while the corner may be in sight, it has yet to be turned.

The USD

Yesterday, the USD fluctuated as the purchasing managers’ index (PMI) data was released around the globe. Germany’s PMI gave a boost to the greenback, but gains were later cancelled by the US manufacturing PM’s steeper-than-expected contraction.

Oil prices

Oil prices fell on the news, while gold rose and recorded its first daily gains this week. Also in the US, initial jobless claims are due at 1.30 p.m. Economists see 240,000 new claimants. And durable goods orders are expected to fall by 4% in July month-over-month (MOM).

Hays

Hays recorded a profit before tax of $192.1 million. Net fees reached £1.29 billion. The group declared a finacial year (FY) core dividend of 3 pence per share. Hays also announced the appointment of Dirk Hahn as its new CEO, with effect from September 1. At the end of February, the group announced it was looking for a successor to Alistair Cox.

Nvidia

NVIDIA reported an 88% jump in revenue and topped earnings estimates as its results for the second quarter were driven by demand for Al chips. NVIDIA’s performance was driven by its data center business, which includes the A100 and H100 Al chips that are needed to build and run Al applications like ChatGPT.

Nvidia reported $10.32 billion in data center revenue, which was up 171% on an annual basis. The group posted adjusted earnings of $2.70 a share vs. $2.09 per share expected. Revenue jumped to $13.51 billion, way above the $11.22 billion expected. NVIDIA anticipates third-quarter revenue of about $16 billion.

Dollar Tree

Dollar Tree delivers second-quarter earnings before the bell today on Wall Street. The market anticipates earnings of 87 cents per share, roughly half what it earned in the second quarter of 2022. Revenue is forecast to rise by about 6% to $7.18 billion, but same-store sales are expected to continue to shrink.

Gap

Clothing retailer Gap brings its second quarter after the bell. Second-quarter fiscal 2024 revenue is forecast to come in at $3.58 billion, down 7% on the same quarter a year ago. Analysts also see adjusted earnings per share (EPS) of 10 cents, up from 8 cents in the year-ago quarter.