The Vanguard and SPDR S&P 500 ETFs are hovering near their all-time highs, continuing a bullish trend that started in April following Donald Trump’s Liberation Day speech. This article looks at some of the top catalysts for the VOO and SPY ETFs this week.
Apple iPhone 17 event
The first major catalyst for the SPY and VOO ETFs this week will involve the third-biggest constituent. Apple will launch its iPhone 17 and other products on September 9 as it competes with the likes of Xiaomi and Samsung.
The event comes at a time when Apple has fallen behind other technology companies in the generative AI industry. As such, the company may use the event to showcase some of its AI features.
Most importantly, the iPhone 17 is expected to have a new design with a new back that differentiates it from the last four phones. It will also launch a new iPhone Air model with an ultrathin body.
A disappointing Apple event may lead to a stock pullback, which may drag the VOO and SPY ETF.
Top corporate earnings
The other major catalyt for the VOO and SPY ETFs will be corporate earnings from some of the top constituents. The most important one will be Oracle, which will publish its results on Tuesday.
Oracle’s stock price has been in a strong uptrend that pushed its market capitalization to $653 billion. It has benefited from the ongoing AI investments that have made it one of the biggest players in the industry.
The other notable VOO constituent to watch will be Adobe, another top design company that has lagged behind in the AI industry. Other companies with earnings scheduled this week are Kroger, RH Group, Chewy, Synopsys, Rubrik, and Core & Main.
US inflation data
Meanwhile, the S&P 500 Index will react to the upcoming US consumer inflation data scheduled on Thursday. This report will show the impact of Donald Trump’s tariffs on prices.
Economists expect the data to show that the headline inflation rose to 2.9% in August, while the core figure jumped to 3.2%. If these numbers are accurate, they will confirm that the US economy was in stagflation.
That’s because they come after a report on Friday showed that the economy created just 22k jobs in August as the unemployment rate continued rising. As suc, analysts expect the Fed to focus on the jobs numbers and decide to cut interest rates.
ECB interest rate decision
The other minor catalyst for the VOO and SPY ETF will come from Europe, where the European Central Bank (ECB) will deliver its interest rate decision. This decision is important as many constituent companies do a lot of business in the region.
Economists expect the ECB will leave interest rates unchanged in this meeting after it delivered 8 cuts.
Meanwhile, the ETFs will react to the recent OPEC virtual meeting in which officials decided to increase production in October. They will add 137,000 barrels, continuing a trend that has been going on in the past few months.
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