Earnings Disappointments Spark Growth Worries as Rate Cut Hopes Fade

More earnings from banks and companies like Netflix and United Airlines are due this week after mixed results so far. Retail sales data will also provide an update on consumers.

Hopes for Fed rate cuts this summer are fading as inflation data shows sticky price increases. Many economists now see just 1 or 2 cuts this year.

Bank earnings from JPMorgan and others undershot expectations, sparking worries about guidance risk even as fundamentals remain healthy.

Strategists are watching this earnings season for signs of revenue growth and actual demand, not just cost cutting.

Markets have priced in a Goldilocks scenario; failure to meet high expectations could further dent stocks after recent slides.