Market Preview: Next Week First Time Report for Sonos, PPI and CPI Headline Economic Calendar

Markets were off slightly Friday. The jobs numbers were good, with 201,000 jobs created last month, but downward revisions of 50,000 the past two months lowered the monthly average. The market was slightly spooked by a spike in wages, the highest increase since 2009. That kept a lid on market action as investors worry a tightening labor market may be driving wages higher, leading to additional increases in interest rates. But the action seemed more of a pause after recent gains than concern by the market that there would be a selloff near term.

Monday the newly minted Sonos (SONO) reports for the first time after going public early last month. Early comparisons to Fitbit (FIT) and Gopro (GPRO) have some worried that the stock is headed lower after its IPO. Analysts will be anxious to hear what the growth prospects look like going forward. The citrus agribusiness company Limoneira (LMNR) also reports on Monday. The company is expected to report higher earnings, but on a lower revenue number. Analysts will want to know where new growth is coming from, not only about cost cutting measures.

Economic releases for next week begin Monday with the TD Ameritrade investor sentiment index. The index will provide a gauge on individual investor activity, and let the market know what the man on the street thinks of the recent rally. Has he been selling into it or putting money to work? Tuesday we’ll get Redbook retail numbers as well as job openings from the Labor Department. Wednesday analysts will see mortgage application numbers, along with the latest producer price index (PPI). The PPI is expected to be unchanged month-over-month. Thursday the market will focus on consumer price index (CPI) numbers, as well as weekly jobless claims. The week closes out with a busy Friday. Numbers include retail sales, import / export prices, industrial production, business inventories and consumer sentiment.

The rest of the week in earnings begins Tuesday morning when Francesca’s Holdings (FRAN) kicks things off, followed by Farmer Brothers (FARM) Tuesday afternoon. Wednesday investors will weigh earnings from Pivotal Software (PVTL) and consulting firm Scientific Applications International (SAIC). We’ll learn if government spending is currently helping or hurting the beltway bandit. Thursday analysts will feast on the earnings of Kroger (KR) and The Lovesac (LOVE). And on Friday, Dave and Buster’s (PLAY) will entertain the market with their latest earnings release. The stock has been on a bit of a roller coaster ride this year. Analysts are expecting $.67 a share in earnings.

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