6 Things To Watch This Week


With massive uncertainty everywhere from the economy, to the coronavirus, to politics, to the protests and riots… 

Today, I want to give you some clarity on 6 Things Watch This Week that will affect your portfolio and the economy…

  1. Earnings Season Continues To Roll On

Earnings season is here in full affect and companies are reporting generally poor earnings in the 2nd quarter of 2020.

This was expected due to the lockdowns and quarantines and overall lack of people doing things, buying stuff, and going places.

Why?

Because an estimated 70% of United States economic output is based on consumer spending.

So far banks, oil companies, restaurants, hotels, airlines, and car companies all appear to be big losers of this earnings season.

And tech companies and food producers and sellers appear to be the biggest winners.

Here are some of the most important earnings to watch for this week…  Including several industries and stocks we’ve already told you to avoid.

Among many others.

I’ll keep you up to date on what these mean – if anything important – to the long-term prospects of both the companies we’ve written about that you should avoid.

And about the stocks we’ve told you to consider buying to Depression Proof Your Portfolio.

You can find links to the Depression Proof Stocks at the end of this message.

Seeing quarterly and yearly earnings helps me understand what’s going on in the market via individual stocks… And this helps me spot potential trends to take advantage of and trouble areas to watch out for so I can let you know about them.

2. Government Data Releases

Another major thing to keep an eye on – especially during crazy times like now – are when the US government releases updated financial and employment data.

Why do I watch this?

For the same reasons as above… To help spot potential trends you can and should take advantage of.  And, to help you avoid potential major problem areas.

3. Job Openings – Released On August 10th, 2020

This will be important to see because it will show how many job openings there are in the US right now.  And this will give an idea of how many companies are hiring.

This is important because it lets us know if the economy is growing again or contracting still.

The trend is the most important thing… Especially since coronavirus cases exploded in July.

If this led to more job losses and higher unemployment that’s a bad sign for the economic recovery.

This is all important because until the unemployment issue is fixed our economy will continue to crumble.

4. Initial Jobless Claims – Released on August 13th, 2020 

For the same reasons above, these numbers are also important…

Pay attention to the trend.

From March until about June this number declined on a weekly basis… Even though the absolute numbers will still horrific.  The decline was a great sign we were headed in the right direction in terms of employment.

Then when the coronavirus cases began exploding it started rising again on a weekly basis.

This is a huge negative sign the economic recovery is stalling.

Again, the trend here will be more important than the absolute number.

5. Continuing Jobless Claims – Released on August 13th, 2020

For the same reasons as above this is also ultra-important.

But a further note on this one is that this is the number of people still receiving federal and state unemployment benefits each week.

You want to see this go down significantly over time because that means more people are back working.

Especially with a current estimated unemployment north of 30 million Americans.

And that’s a good sign not just for people and their families.  But also, for the entire economy.

6. Retail Sales – Released on August 14th.

Because 70% of the US economy is based on consumption – i.e. you and I doing and buying stuff.  This number is also important.

Retail sales as of the most recent data are still down huge in June.  But they were beginning to recover a bit.

This new data will show what happened in July to see if retail sales continued rising… Or fell again as new coronavirus cases began to explode.

Its another indicator of the direction the economic recover – if there is one at all – is heading toward good or bad.

These are some of the biggest things to pay attention to in the market this week.  And they’ll affect everything from your personal job and spending… To your retirement portfolio… To the entire economy.

Use the following links to see some of the stocks we recommend to Depression Proof Your Portfolio.

Disclosure – Jason Rivera is a 13+ year veteran value investor who now spends much of his time helping other investors earn higher than average investment returns safely. He does not have any holdings in any securities mentioned above and the article expresses his own opinions. He has no business relationship with any company mentioned above.

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