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Wednesday’s gains brought Abercrombie & Fitch shares back into positive territory for the year
Credit: Cheng Xin / Getty Images

Key Takeaways

• Abercrombie & Fitch shares surged Wednesday after quarterly results that topped analysts’ estimates.
• The retailer also raised its full-year profit and sales outlook.

Abercrombie & Fitch shares are back in the green for the year after a stronger-than-expected quarter.

Shares of Abercrombie & Fitch (ANF) were up nearly 28% in recent trading, erasing their year-to-date losses, after the retailer posted earnings that topped analysts’ estimates and lifted its full-year outlook.

The New Albany, Ohio-based company reported adjusted earnings per share of $4.17 on a 5% year-over-rise in net sales to a record $1.27 billion in the second quarter. Analysts surveyed by Visible Alpha had expected adjusted EPS of $1.98 and net sales of $1.24 billion. Abercrombie said its profit figures reflected a benefit to the tune of $1.75 per share from tariff refunds.

Abercrombie brand sales rose 8%, while those at Hollister climbed 2%. Comparable sales were flat, below expectations of about 0.5% growth, as they slid 3% at Hollister.

Abercrombie & Fitch’s third-quarter profit and sales guidance topped Visible Alpha consensus estimates, as did its raised full-year projections.

“Importantly, we are adding incremental growth levers across partnerships, distribution channels and product categories,” CEO Fran Horowitz said in a release.

J.M. Smucker shares entered Wednesday up 28% since the start of the year.
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Key Takeaways

• J.M. Smucker raised its fiscal 2027 adjusted earnings forecast to $10.50–$11 per share, up from $9.75–$10.25.
• The company reported better-than-expected Q1 earnings of $3.24 per share on $2.22 billion in revenue.
• Smucker narrowed its projected net sales decline to 1%–2% and increased its free cash flow outlook to $1.1 billion.

The J.M. Smucker Co.’s fiscal 2027 first-quarter results “exceeded our expectations,” CEO Mark Smucker said. As a result, the parent of Jif peanut butter, Folgers coffee, and Milk-Bone dog treats lifted its full-year outlook, and investors are buying shares before the bell.

J.M. Smucker (SJM) shares are rising 5% in premarket trading Wednesday after the Orrville, Ohio-based company reported better-than-expected Q1 results and raised its fiscal 2027 projections for net sales, adjusted earnings per share, and free cash flow.

Smucker reported adjusted earnings of $3.24 per share on revenue that rose 5% year-over-year to $2.22 billion. Analysts polled by Visible Alpha had expected $2.21 per share and $2.13 billion, respectively.

The company—which also owns its namesake brand of jams and jellies, as well as Hostess, Uncrustables frozen crustless sandwiches, and Meow Mix cat food—now sees full-year adjusted EPS of $10.50 to $11, up from the prior forecast of $9.75 to $10.25; a net sales decrease of 1% to 2%, narrower than the previous 3% to 4% decline; and free cash flow of $1.1 billion, up from $1 billion.

“We are focused on advancing our strategic priorities of driving organic volume growth across our key platforms, improving profitability and accelerating earnings growth, and maintaining a disciplined approach to capital deployment,” Smucker said.

J.M. Smucker shares entered Wednesday up 28% since the start of 2026.

A temporary drop in gasoline prices wasn’t enough to force down the overall inflation index.
Credit: Ronaldo Schemidt / AFP via Getty Images

Key Takeaways

• The Fed’s preferred inflation measure rose 3.7% in July, slightly above forecasts.
• Core inflation, excluding food and gas, increased 3.3%, aligning with expectations.
• The report leaves uncertainty about whether the Fed will raise interest rates in September.

The Fed’s preferred measure of inflation stayed in a holding pattern in July, increasing slightly more than forecasters had expected.

The Personal Consumption Expenditures price index rose 3.7% over the year in July, the same as in June, the Bureau of Economic Analysis said Wednesday. That was more than the 3.6% increase forecasters had expected, according to a survey of economists by Dow Jones Newswires and The Wall Street Journal. A temporary drop in gasoline prices wasn’t enough to force down the overall inflation index. “Core” inflation, which excludes the volatile prices for food and gas, rose 3.3% over the year, in line with forecaster expectations.

Why This Matters

Persistent inflation could keep interest rates higher for longer, affecting borrowing costs, savings, mortgages, and investments.

The core inflation rate is especially significant because it’s the benchmark the Federal Reserve uses to judge if inflation is increasing at its target rate of 2% a year, a goal that hasn’t been achieved since 2021. With inflation neither accelerating nor subsiding substantially, Fed officials have been debating whether to raise the central bank’s key interest rate in September. Wednesday’s report may not have provided enough evidence to either side to tip the scales on that debate.

Consumers are responding to higher prices by cutting back on spending, the report suggested. Consumer spending was flat over the month after adjusting for inflation, the lowest since January, even though personal income rose 0.4%, double the forecast.

In the coming months, the inflation outlook is complicated by continued elevated fuel prices because of the Iran war, as well as steep new tariffs on products from Canada.

“The data still gives the Federal Reserve time to wait and see,” Heather Long, chief economist at Navy Federal Credit Union, said in a commentary. “It’s not getting worse, but it didn’t get any better in July either. A trade war with Canada will only exacerbate inflation woes. Meanwhile, consumer fatigue is real.”

With inflation pressures continuing to build, the Fed is likely to raise rates at some point in the coming months, some economists said.

“These high inflation readings should keep the FOMC overall in a hawkish mood and poised to raise rates if we do not see significant cooling in the coming months,” Kathy Bostjancic, chief economist at Nationwide, wrote in a commentary.

News of the day for Aug. 26, 2026

The AI chipmaker at the heart of the AI boom is scheduled to release its highly anticipated earnings report after Wednesday’s closing bell.
Credit: Chen Yuyu / VCG / Getty Images

Stock futures are holding steady as investors await a key inflation report this morning and prepare for AI chipmaker Nvidia to release its quarterly results; the PCE price index will be closely monitored by the Federal Reserve ahead of its decision on interest rates next month; Nvidia is once again expected to report blockbuster results; and software maker Salesforce and cybersecurity company CrowdStrike are also scheduled to release earnings this afternoon. Here’s what you need to know today.

Stock Futures Are Steady as Investors Await Nvidia Results

Stock futures are little-changed this morning as investors prepare for inflation data and the release of an earnings report from Nvidia that will set the tone for the AI trade (more on both below). Dow Jones Industrial Average futures were up less than 0.1% recently, while futures tied to the S&P 500 and the tech-heavy Nasdaq slipped 0.1% and 0.2%, respectively. The major indexes closed higher yesterday as chip stocks rebounded from steep declines to start the week. WTI crude oil futures were down more than 2% at $80.50 per barrel, losing ground for the fourth straight session amid hopes that a deal could be reached to reopen the Strait of Hormuz. Bitcoin was trading at $78,500, down from a high above $81,000 yesterday, while gold futures ticked lower to $4,675 an ounce. The yield on the 10-year Treasury, which affects interest rates on loans, was unchanged at 4.64%.

Fed’s Favorite Inflation Measure Due This Morning

The Personal Consumption Expenditures price index is expected to show that inflation moderated slightly in July thanks to a dip in gasoline prices. Economists estimate that the PCE, which has long been considered the Federal Reserve’s preferred measure of inflation, rose 3.6% in the 12 months ending in July, down from 3.7% the previous month. The data will factor into the Fed’s decision-making on interest rates when its policy committee meets in September. Fed Chair Kevin Warsh is scheduled to deliver a speech Friday at the central bank’s annual conference in Jackson Hole, Wyoming, and investors will be eager to hear his view on the outlook for inflation and what that could mean for interest rates.

Nvidia Earnings Take Center Stage After Closing Bell

The AI chipmaker at the heart of the AI boom is scheduled to release its results after the closing bell. Nvidia’s quarterly report has become the biggest event of every earnings season, and investors have come to expect that the company’s numbers will blow past Wall Street expectations. The chipmaker is expected to report earnings per share of $2.10 on revenue of $92 billion, both roughly doubling from the year ago period, according to analysts’ estimates compiled by Visible Alpha. In addition to the financial results and outlook, investors will want to hear more from CEO Jensen Huang about the flurry of investments and creative financing deals the company has completed recently, amid concerns about the possibility of an AI bubble. Nvidia shares, which fell after its last four quarterly reports even though the company handily topped expectations, were little-changed ahead of today’s opening bell.

Salesforce Results Due Amid AI Disruption Concerns

Software giant Salesforce (CRM) is also due to release its results this afternoon, with investors looking for signs that the company’s business isn’t being eroded by AI. Analysts estimate that the company will report revenue of $11.33 billion, up about 11% from a year ago, while earnings per share are seen edging higher to $3.28. Salesforce shares have lost more than 20% of their value since the start of the year, tracking a broader downturn for software stocks amid investor concerns that companies will develop their own AI tools and cut back spending on third-party software. The stock was down 2% in recent premarket trading.

CrowdStrike Faces High Expectations Ahead of Earnings

CrowdStrike (CRWD) is perceived as a beneficiary of the growing adoption by companies of AI, and that’s given the stock a big boost this year. The cybersecurity services provider is expected to report that earnings per share rose to 29 cents in the latest quarter while revenue increased 23% to $1.44 billion. Analysts have said that CrowdStrike could have a hard time impressing investors amid the high expectations that AI-related demand is translating into new business. CrowdStrike shares, which have risen more than 60% since the start of 2026, were down slightly in recent trading.

Nvidia is set to report earnings after the closing bell Wednesday
Credit: VCG / Contributor / Getty Images

Key Takeaways

• After a spate of recent deals, Nvidia faces pressure to defend its efforts around helping clients and partners finance their investments in AI.
• Analysts have also said they’ll listening for insights about Nvidia’s product roadmap, sales in China, competition, and rising memory prices.

Nvidia may need more than strong results to win wary investors over.

Though Nvidia’s (NVDA) shares are 14% higher for the year, they’re well off May highs as enthusiasm for the stock—along with others tied to the AI boom—has waned. Several Wall Street analysts have said they’ll be listening closely to what executives have to say Wednesday as they look for fresh information on the company’s recent financing deals, which may speak to the health of the AI buildout, and other topics. (Here’s how much investors expect the stock to move after the earnings release.)

Here’s what analysts hope to learn more about.

Financing Deals

After a spate of recent investments and other financing agreements that have raised worries about circular deals and drawn comparisons to the dotcom bubble, several Wall Street analysts have said they’ll be looking for more assurance from Nvidia around the sustainability of spending on America’s AI buildout.

Investors will particularly want more details about the $500 billion financing platform the chipmaker announced earlier this month, Goldman Sachs wrote in a recent note.

Higher Memory Costs

What Nvidia will say about rising memory costs has also been top of mind, even for some of the Street’s bulls.

Analysts at Wedbush told clients Monday that they’ve grown less concerned about the impact on Nvidia’s margins, however, after reports of price hikes for Nvidia’s chips and favorable pricing deals with suppliers for 2027.

Those developments “likely allow NVDA to hold absolute (if not percentage) margins into next year,” Wedbush wrote.

The Roadmap for Rubin

The shortage of memory parts that’s led to higher prices could negatively impact supply, according to some market watchers.

Citi analysts recently warned clients they expect deployments of Rubin, the successor to Nvidia’s popular Blackwell AI chips, could be “more limited by memory supply than we previously assumed.”

China Chip Sales

Nvidia has so far struggled to record sales from its Trump-approved AI chips to China, leaving many investors waiting to see signs of inroads there. The company has reportedly started pitching Chinese clients on more advanced chips, even as sales of earlier models to the country have stalled.

Nvidia in May said it had yet to record any revenue from H200 chip sales to Chinese customers amid lingering uncertainty around whether they would be allowed into the country. CEO Jensen Huang has long pushed for greater access to China’s market and has suggested it could represent a $50 billion opportunity annually.

Market Share

Nvidia’s expectations for its market share in the face of growing competition from Advanced Micro Devices (AMD) and others could also take the spotlight Wednesday.

“We expect investors to focus on Nvidia’s updated view on its longer-term market position as the market broadens in light of AMD’s launch of MI450X Helios rack-scale systems across a broadening customer set of AI model builders, and custom ASIC ramps at hyperscaler customers,” wrote Goldman Sachs.

Economists will publish inflation data this week.
Credit: Spencer Platt / Getty Images

Key Takeaways

• Forecasters expect inflation to have decelerated slightly in July, with the Personal Consumption Expenditures price index rising 3.6% over the year.
• Core inflation is expected to remain at a 3.3% annual increase.
• Inflation in line with expectations would leave open the debate about whether the Federal Reserve should raise its key interest rate in September.

The Federal Reserve’s favorite measure of inflation likely decelerated in July as a temporary dip in gasoline prices provided some relief to household budgets.

A report on Wednesday of the Personal Consumption Expenditures price index is expected to show the inflation gauge rose 3.6% over 12 months in July, according to a survey of economists by Dow Jones Newswires and The Wall Street Journal. If that forecast proves true, it would be down from a 3.7% annual increase in June. “Core” prices excluding food and energy likely rose 3.3%, the same as in June, economists said.

The report could influence the Federal Open Market Committee‘s next meeting in December. Officials have said they are closely monitoring the data to determine whether the Fed should raise its key interest rate to counter inflation that has exceeded the central bank’s 2% annual target since 2021.

The Fed, at least for now, uses core PCE as its benchmark to determine if inflation is low enough to fulfill its mandate from Congress to keep prices stable. That could change later this year, since Fed Chair Kevin Warsh is leading an effort to revisit the central bank’s approach to inflation data, and has criticized PCE.

What This Means For This Economy

Inflation in July was likely tame, though the Iran war and volatile trade policy have made the outlook less certain going forward.

If the data for the July PCE is in line with expectations, it’s unlikely to settle the debate on the FOMC between hawks, who see the need to raise interest rates to discourage borrowing and contain inflation, and others who have favored a more wait-and-see approach. The latter faction prevailed at the Fed’s most recent meeting in July, although officials’ remarks suggest they are losing patience with waiting for inflation to fall on its own.

However, the Fed is also watching the labor market half of its dual mandate to keep inflation low and employment high. Signs of a cooling job market between now and September could discourage rate hikes.

A key figure for financial markets will be the month-over-month increase in the core index, which forecasters expect to increase 0.2% from June.

“The setup is rather simple - numbers don’t have to be great, they just can’t be hot,” Jay Woods, chief market strategist at Freedom Capital Markets, wrote in a commentary. “A core reading around 0.2% would give the Fed the ability to wait, particularly with signs that the labor market is losing momentum.”

Inflation has accelerated this year due to tariffs and higher fuel costs driven by the war in Iran. However, a cool housing market and low rent increases have kept housing costs in check, keeping inflation from surging anywhere near the four-decade high inflation of the post-pandemic era.

A report in line with expectations would indicate that inflation has resumed a slow downward trajectory and could be less of a concern in the future, according to economists at Wells Fargo, led by Chief Economist Tom Porcelli.

“While inflation remains above the Fed’s target, the recent data are consistent with a gradual easing in underlying price pressure,” they wrote in a commentary.

The Social Security Administration determines cost-of-living adjustments based on the Bureau of Labor Statistics’ Consumer Price Index.
Credit: Wesley Lapointe / For The Washington Post via Getty Images

KEY TAKEAWAYS

• The 2027 Social Security cost-of-living adjustment (COLA) is estimated at 3.6%.
• A softer inflation picture nudged the estimate down from last month’s projections.
• The official COLA will be announced in October, based on inflation data from July through September.

The countdown to the next cost-of-living adjustment (COLA) announcement is winding down, and the boost could be bigger than any since 2022.

The 2027 COLA is expected to be 3.6%, up 0.8 percentage points from this year’s increase, according to the most recent estimate from The Senior Citizens League (TSCL), an advocacy group. The average beneficiary would receive about $69.75 more monthly. AARP, which began publishing its own COLA forecasts this year, projects a slightly smaller increase of 3.5%.

Why This Matters

About 75.7 million Americans receive Social Security benefits. Knowing next year’s benefit amount helps retirees plan their budgets and see whether Social Security is keeping pace with rising costs.

These are still estimates, based on the available inflation data. The Social Security Administration will announce the official COLA on Oct. 14, after September inflation data is released.

The estimated 3.6% COLA is smaller than last month’s 3.8% projection from TSCL. However, this boost would still be the largest since the 2022 COLA announcement for benefits that went into effect the following year.

The Social Security Administration calculates the COLA using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).

The CPI-W slowed somewhat in July, in part due to a lull in the war in Iran. But gas prices rose again this month as the conflict heated up.

Forecasters expect U.S. inflation to ease in the coming months as airfares and hotel prices decline following the World Cup’s end in mid-July.

Inflation reports for the summer are the most important for beneficiaries. To calculate the COLA, the SSA compares average third-quarter (July through September) CPI-W readings against the same period a year earlier.

Bitcoin briefly topped $80,000 overnight Tuesday.
Credit: LIU JUNFENG / Feature China/Future Publishing via Getty Images

Key Takeaways

• Bitcoin surged past $80,000, its highest level since May, amid growing market optimism.
• Spot bitcoin ETFs saw six consecutive days of net inflows, signaling increased investor interest.
• Strategy created a $1.6 billion cash pool to respond to bitcoin market volatility.

Bitcoin is stepping back into the spotlight and the crowds are cheering.

The world’s most popular cryptocurrency topped $80,000 overnight, a level it hasn’t touched since May. Between federal regulators’ efforts to fill in the rulemaking gaps the Clarity Act has left behind, and spot bitcoin ETFs’ six consecutive days of net inflows, per Farside Investors, market conditions would appear to be swinging from crypto famine to crypto feast.

CoinMarketCap’s Crypto Fear and Greed Index was recently flashing “extreme greed” from last week’s “neutral.” Meanwhile, the latest chart making the rounds in crypto circles on social media is a 10-year gains table that ranks bitcoin at the top, followed by hot AI stocks Nvidia (NVDA) and AMD (AMD). Indeed, the cryptocurrency’s latest surge has pushed it to the top, with a 13,429% gain compared to Nvidia’s 13,156% over that period through Aug. 23.

Strategy (MSTR) wasn’t doing much in the crypto market last week, although surging bitcoin prices might’ve been the ideal time to capitalize on its stockpile of some 840,447 coins valued at around $66 billion at recent prices. Instead, Strategy sold more of its common stock, which got a boost alongside bitcoin last week, for about $2 billion.

In a report yesterday, Fundstrat Head of Digital Asset Strategy Sean Farrell observed that “Strategy has now gone two consecutive weeks with zero BTC activity,” and that would mark a “meaningful departure from the historical playbook.”

However, the company announced yesterday that it established a pool of $1.6 billion, called USD Cash, that is “intended to allow management to respond more quickly to market conditions, including dislocations in the markets for bitcoin or Strategy’s securities,” and not to be confused with its existing USD Reserve, which recently held $5.1 billion, designated to pay dividends on its preferreds and interest accruing on its debt, filings show. 

Farrell likened the cash pool to “plunge protection,” which he said he expected Strategy to tap when either bitcoin or its preferred stocks took a dive. Recall Strategy’s Stretch preferred slid to the low $70s in June, causing alarm as the gap to its par price of $100 blew out.

Walmart stock has generally fallen since May.
Credit: Smith Collection / Gado / Getty Images

Key Takeaways

• Walmart shares have dropped 4% in August through Monday’s close and continue to decline after a disappointing outlook.
• Wall Street analysts are broadly positive on the shares, but some think they aren’t done dropping.

August hasn’t been kind to Walmart investors. 

The retail giant’s stock has fallen 4% this month through Monday’s close, and it’s off another 1.5% so far today, extending losses that accelerated last week after Walmart (WMT) turned in a third-quarter financial outlook that spooked investors. 

Wall Street is broadly positive on the shares–Visible Alpha’s mean price target is around $127, a nearly 20% premium to yesterday’s finish around $106–but some analysts think they aren’t done dropping. 

Oppenheimer earlier today said they could see the stock moving into the “low $90s.” They haven’t traded below $100 since November. 

The analysts still see plenty to like about the company, including operating profit and e-commerce growth trends, as well as increased U.S. share in grocery, but they also see the latest retreat as “justified” after a yearslong runup that ended in May, along with slowing same-store sales growth. 

Oppenheimer, which downgraded the stock earlier this month, doesn’t currently have a price target on Walmart shares, but says they “remain on our radar.”

Dick’s shares have lost nearly a third of their value since the start of the year
Credit: Marcin Golba / NurPhoto via Getty Images

Key Takeaways

• Dick’s shares tumbled Tuesday after the sporting goods retailer reported disappointing results and lowered its full-year outlook.
• The company said its Foot Locker business was impacted by “challenging conditions.”

Dick’s said its Foot Locker business was impacted by “challenging conditions” in the second quarter. It slashed its full-year outlook, and investors are dropping the stock.

Shares of Dick’s Sporting Goods (DKS) were down nearly 20% in recent trading, after the retailer posted second-quarter results that missed Wall Street analysts’ estimates and lowered its full-year sales projections.

The Pittsburgh-based company reported adjusted earnings of $3.53 per share on net sales of $5.59 billion for the second quarter. Analysts surveyed by Visible Alpha had expected $3.77 per share and $5.64 billion, respectively.
Comparable sales rose 2.1% year-over-year, well below the 3.4% consensus projection. Pro-forma Foot Locker comparable sales fell 3.6%, when a 0.2% decline was expected.

Dick’s said it now expects between a 2% decline to flat comparable sales from its Foot Locker business for the year, down from a prior projection of 1.5% to 3% growth. The company also lowered its operating income outlook for Foot Locker and its namesake businesses, as well as its guidance for net sales and profit.

“This environment had a more significant impact on the Foot Locker Business given its greater exposure to legacy footwear silhouettes and greater dependence on footwear launch and retro product,” Executive Chair Ed Stack said in a release. “Not only were there fewer launches in the second quarter, but those launches performed below both industry and our expectations. As a result, we are taking a more cautious view of the balance of the year.”

With Tuesday’s slide, Dick’s shares have lost nearly a third of their value this year.