The Bottom Line
Economic focuses this week are on U.S. August inflation reports: Consumer Price Index released on Thursday and the Producer Price Index released on Friday. They will set the stage the next FOMC report on interest rates released on Wednesday September 16th.
Earnings news this week is relatively quiet. Focuses are on Oracle’s report on Thursday and start of fiscal second quarter reports released by the Retail sector: American Eagle Outfitters on Wednesday and Macy’s on Thursday.
On a seasonal basis the S&P 500 and TSX Composite Index have a history of reaching a short term seasonal peak starting in the third week in September (coinciding this year with the FOMC report on September 16th).
Earnings and Revenue Consensus for S&P 500 Companies
Source: www.factset.com
Analysts mostly increased their 2026 earnings and revenue estimates again last week.
· Consensus for third quarter 2026 earnings gains increased to 28.5% from 28.2%. Consensus for revenue gains slipped to 11.6% from 11.7%.
· Consensus for fourth quarter 2026 earnings gains increased to 31.5% from 25.8%. Consensus for revenue gains increased to 12.0% from11.9%.
· For all of 2026, consensus for earnings gains increased to 31.5% from 31.2%. Consensus for revenue gains increased to 12.0% from11.9%.
Consensus for earnings and revenue gains continue into 2027, but at a significantly lower rate:
· For first quarter 2027, consensus for earnings gain was 17.9%. Consensus for revenue gains was 10.7%
· For second quarter 2027, consensus for earnings gains was 1.2%. Consensus for revenue gains was 6.9%.
· For all of 2027, consensus for earnings gains remained at 15.0%. Consensus for revenue gains remained at 9.0%
Economic News This Week
Source: www.MarketWatch.com
August U.S. Producer Price Index released at 8:30 AM EDT on Thursday is expected to increase 0.4% versus no change in July. On year-over-year basis, the Index is expected to increase 5.3% versus a 4.7% rate in July. August Index less food and energy is expected to increase 0.3% versus a 0.2% increase in July.
August U.S. Existing Home Sales released at 10:00 AM EDT on Thursday are expected to drop to 3.9 million units from 4.1 million units in July.
August U.S. Consumer Price Index released at 8:30 AM EDT on Friday is expected to increase 0.4% versus a 0.1% increase in July. Excluding food and energy, the August Index is expected to increase 0.2% versus a 0.2% increase in July. On a year-over-year basis, the Index is expected to increase 3.4% versus 3.4% in July. On a year-over-year basis, the Index excluding food and energy is expected to increase 2.4% versus 2.5% in July.
Selected Earnings News This Week
Quiet week!
Tuesday: GameStop
Wednesday: American Eagle Outfitters
Thursday: Macy’s, Copart, Oracle, Adobe, Empire Companies
Friday: Kroger
Trader’s Corner
Equity Indices and Related ETFs
Commodities
Sectors
Technical Notes
Lulu lemon (LULU) a NASDAQ 100 stock moved below $104.44 extending an intermediate downtrend. The company reported less than consensus quarterly results.
Philip Morris (PM) an S&P 100 stock moved below $184.02 completing a double top pattern.
Constellation Software (CSU.TO) a TSX 60 stock moved below Cdn$2,949.70 setting an intermediate downtrend.
Colgate Palmolive (CL) an S&P 100 stock moved below $89.25 setting an intermediate downtrend.
Changes Last Week
Links offered by valued providers
Michael Campbell’s Money Talks for September 5th
Michael Campbell’s MoneyTalks – Complete Show (mikesmoneytalks.ca)
The return of the "Magnificent Seven": The Investment Committee’s strategy: CNBC
The return of the "Magnificent Seven": The Investment Committee’s strategy – YouTube
Shocker! Jobs Report Hits Markets, Fed Rate Hike? Markets, Gold, Bitcoin Sell: Verified Investing
Shocker! Jobs Report Hits Markets, Fed Rate Hike? Markets, Gold, Bitcoin Sell – YouTube
Tom Lee’s Bullish Case: Why September Might Defy Expectations
Tom Lee’s Bullish Case: Why September Might Defy Expectations – YouTube
Mark Leibovit: Is It "That Time of Year" to Worry About The Stock Market? Sept. 3, 2026
https://talkdigitalnetwork.substack.com/p/mark-leibovit-is-it-that-time-of
Do Prospects of Higher Rates Suggest We Move To Cash? Tom Bowley
Do Prospects of Higher Rates Suggest We Move To Cash? – YouTube
The Jobs Report Broke the Rally. Here’s What Held Up
The Jobs Report Broke the Rally. Here’s What Held Up (stockcharts.com)
This Week in Money – Sept. 4, 2026
This Week in Money – Sept. 4, 2026 (substack.com)
S&P 500 Momentum Barometers
The intermediate term Barometer dropped 3.20 on Friday and fell 6.00 last week to 47.80. It remained Neutral. Daily downtrend was extended.
The short term (20 days) Barometer dropped 10.60 on Friday and fell 7.60 last week to 36.40. It changed from Neutral to Oversold on a drop below 40.00. Daily downtrend was extended.
The long term Barometer dropped 1.60 on Friday and fell 4.40 last week to 66.60. It remained Overbought. Daily downtrend was extended.
TSX Momentum Barometers
The intermediate term Barometer added 1.38 on Friday and gained 0.45 last week to 55.50. It remained Neutral.
The short term (20 days) Barometer added 0.92 on Friday and gained 1.83 to 49.08. It remained Neutral.
The long term Barometer was unchanged on Friday and gained 0.92 to 68.35 last week to 68.35. It remained Overbought.
Disclaimer: Seasonality ratings and technical ratings offered in this report and at
www.equityclock.com are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered in this report is believed to be accurate, but is not guaranteed.
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Equity Clock Publications