Stocks climbed higher Wednesday as market participants awaited the results from Nvidia
Here's how the market settled on Wednesday:
S&P 500 Index
Dow Jones Industrial Average
Nasdaq Composite Index
Ahead of the highly anticipated earnings, investors reacted to more earnings reports from the retail sector. Foot Locker
"We did see a softening in trends in July and are adjusting our 2023 outlook to allow us to best compete for price-sensitive consumers while still leaning into the strategic investments," CEO Mary Dillon said in the company's release.
The retailer expects full-year comparable sales declining in by a range of 9% to 10%, below its initial forecast for a 7.5% to 9% drop. Foot Locker also cut its full-year earnings outlook to a range of $1.30 to $1.50 per share from its previous guidance of between $2.00 to $2.25.
Other sporting goods and athletic apparel retailers like Dick's Sporting Goods
Peloton
On the economic front, the S&P Global's services PMI reached a six-month low in August at 51.0, while the firm's manufacturing PMI posted a two-month low at 47.5. Readings above the neutral level of 50 indicate expansion in the sector, while reading below indicate contraction.
"A near-stalling of business activity in August raises doubts over the strength of US economic growth in the third quarter," said Chris Williamson, chief business economist at S&P Global Market Intelligence, in a statement. "The survey shows that the service sector-led acceleration of growth in the second quarter has faded, accompanied by a further fall in factory output."
Sales of newly constructed U.S. homes came in stronger-than-expected in July despite increasing mortgage rates, the Commerce Department reported Wednesday. Sales of new homes totaled 714,000 at a seasonally adjusted rate, equalling a 4.4% increase from June's downwardly revised figure and 31.5% above the previous year's rate.
Looking ahead, all eyes will be on Nvidia's earnings report after market close. Market participants will also turn their attention towards the Federal Reserve's two-day Jackson Hole Symposium, starting on Thursday. Fed Chair Jerome Powell is set to deliver remarks on Friday.