Big Morning for Q2 Numbers: GDP +3.3%, Earnings Beats for Retailers

Economic Overview - Q2 GDP improved to +3.3%, marking the best growth in nearly two years, with a 30 basis points increase from the initial print and 20 basis points above expectations [2] - Consumption rose to +1.6%, the best quarter since Q4 of the previous year [2] - The Pricing Index remained unchanged at +2.0%, down from +3.8% in Q1, indicating cooling inflation [3] - Core Pricing reached +2.5%, 100 basis points lower quarter over quarter [3] - Inventories decreased to -3.3% in Q2 from +2.6% in Q1, while Net Trade improved to +5% this quarter from -4.6% last quarter [3] Job Market Insights - Initial Jobless Claims were reported at 229K, slightly below the expected 230K, marking the eighth downward shift since June [4] - Continuing Claims stood at 1.954 million, down from the revised 1.961 million, remaining above 1.94 million for 12 consecutive weeks [5] Earnings Reports - Dollar General (DG) reported earnings of $1.86 per share, exceeding estimates by +19.23%, with revenues of $10.73 billion, a +0.47% beat, and raised guidance [6] - Best Buy (BBY) posted earnings of $1.28 per share, surpassing expectations by +4.9%, with comparable sales turning positive at +1.5% [7] - Dick's Sporting Goods (DKS) reported earnings of $4.38 per share, exceeding estimates by +2.1%, and raised future guidance despite a recent acquisition miss [8] - Burlington Stores (BURL) saw earnings of $1.59 per share, beating consensus by +25%, with revenues of $2.71 billion, a +2.5% beat [10] Market Expectations - Pending Home Sales for July are expected to bounce back to +0.3% from -0.8% the previous month, following a year-over-year decline of -2.8% in June [11] - Major companies such as Marvell Technologies, Dell Technologies, and Ulta Beauty are set to report Q2 earnings later in the day [12]