What to Expect in Markets this Week: A Slew of Retailers Report Earnings—Along with Dell and Other AI Players

• Retail earnings follow mixed signals from mass retailers last week, with Walmart lowering quarterly guidance while Target beat estimates, though both stocks fell, while apparel companies VF Corp, Amer Sports, and Foot Locker impressed investors
• Key AI sector reports from Dell Technologies, Marvell Technology, and Synopsys will indicate whether strong demand continues, with Dell executives previously calling the AI opportunity 'transforming' for the company
• The Conference Board's Consumer Confidence Index update on Tuesday will provide fresh data on consumer sentiment, which remains relatively pessimistic despite Americans continuing to spend on discretionary items

Market Week Preview: Retail Earnings and AI Sector in Focus

Key Market Events

Investors face a shortened trading week (markets closed Monday) with heavy focus on retail earnings and continued AI sector developments. The S&P 500 enters the week on momentum, having posted eight consecutive weeks of gains.

Retail Sector Spotlight

Major retailers reporting this week include:

• Dollar Tree (Thursday)
• Burlington Stores (Thursday)
• Gap (Thursday, 4:15 PM ET)
• American Eagle Outfitters (Thursday)
• Best Buy (Wednesday)
• Kohl's (Thursday)

These results will provide crucial insights into consumer behavior amid high gas prices, rising inflation, and a stalled job market. Last week showed mixed signals: Walmart lowered its current quarter outlook while maintaining full-year guidance, while Target beat expectations and raised its outlook. However, both stocks declined. Apparel companies VF Corp and Arc'Teryx parent company showed stronger performance.

Despite economic pessimism, Americans continue demonstrating resilient consumer confidence, though investors question how long this will persist.

AI Trade Developments

Key AI-related earnings include:

• Dell Technologies (Thursday, 4:30 PM ET) - executives previously indicated "the AI opportunity is transforming" the company
• Marvell Technology (Wednesday, 4:45 PM ET) - Nvidia partner
• Synopsys (Wednesday) - second-quarter results
• Salesforce (date unspecified) - stock down 30% year-over-year despite recent earnings beat

Economic Data

Tuesday: Conference Board Consumer Confidence Index (10 AM ET) - tracking consumer sentiment trends.

The week follows Nvidia's earnings, which suggested the AI buildout remains on track.