By Dhirendra Tripathi
Investing.com -- Stocks stretched into record territory on Thursday, a familiar theme to investors a day after the Federal Reserve assured the markets it wasn’t about to let its foot off the economic gas pedal anytime soon.
On Thursday, data on real gross domestic product showed the economy grew at 6.5% annual rate in the second quarter, missing expectations for nearly 8.5% growth. A closer look at the numbers however showed consumer spending topped expectations.
The upside surprise in consumer spending offset weekly jobless claims data and gave a boost to economically-linked cyclical stocks including energy, materials and financials.
Optimism in the stock market overcame concerns about rising cases of the highly contagious Delta variant of coronavirus, which have prompted companies and local and state governments to return to mask mandates, along with requirements for workers to be vaccinated in some cases.
To get more people to get their shots, President Joe Biden is calling for state and local to pay $100 to every newly vaccinated American, Reuters reported on Thursday, citing the U.S. Treasury Department.
In the most highly anticipated initial public offering so far this year, Robinhood Markets Inc (NASDAQ:HOOD) began trading on the Nasdaq on Thursday and tumbled about 10% from its offering price of $38. It closed its first day down 8%.
Here are three things that could affect markets tomorrow:
1. Amazon reports tonight
Amazon.com Inc (NASDAQ:AMZN)’s second-quarter earnings per share, scheduled to be reported Thursday evening, is seen at $12.24 on revenue of $115.33 billion, according to analysts tracked by Investing.com.
2. Consumer giant reports
Procter & Gamble Company (NYSE:PG), maker of a huge array of consumer and household products, is seen posting revenue of $18.37 billion and EPS of $1.09 when it declares its fourth-quarter results on Friday.
3. Oil major outlook
Major oil company Chevron Corp (NYSE:CVX) is expected report EPS of $1.09 and revenue of $18.37 billion for the second quarter. The company should benefit from the rise in crude oil prices since the start of the year on the economic reopening.