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What to Watch in the Stock Market This Week

^DJI Chart

Stock indexes gained more than 2% last week. The Dow Jones Industrial Average (DJINDICES: ^DJI) and the S&P 500 (SNPINDEX: ^GSPC) shook off mixed quarterly results from retailers, and mounting evidence of an impending interest rate hike from the Federal Reserve, to push near 2016 highs:

^DJI data by YCharts .

As for the shortened trading week ahead, Friday brings a highly anticipated jobs reading that could seal the prospect of an interest rate hike by the Fed in June. Meanwhile, stocks that could make big moves include retailers Michael Kors (NYSE: KORS) and Vera Bradley (NASDAQ: VRA) .

Michael Kors' earnings expectations

Luxury clothing accessory specialist Michael Kors is set to post quarterly results before the market opens on Wednesday, June 1. With sales and profitability on the decline, the stock hasn't managed to avoid the slump that's snagged most clothing retailers - it's down 30% in the last year.

Jobs Change

Image source: Federal Reserve Economic Data.

In April's report, job growth slowed for the second straight month to 160,000, and economist expect a similar number for May. But the longer-term average is more important for investors to watch. Job gains have averaged a solid 230,000 per month over the last year even with improving wages. As long as those positive trends don't reverse dramatically in this week's report, odds seem good for the Fed to raise rates after concluding its two-day meeting on June 15.

Something big just happened

I don't know about you, but I always pay attention when one of the best growth investors in the world gives me a stock tip. Motley Fool co-founder David Gardner (whose growth-stock newsletter was the best performing in the U.S. as reported by The Wall Street Journal)* and his brother, Motley Fool CEO Tom Gardner, just revealed two brand new stock recommendations. Together, they've tripled the stock market's return over the last 13 years. And while timing isn't everything, the history of Tom and David's stock picks shows that it pays to get in early on their ideas.

Click here to be among the first people to hear about David and Tom's newest stock recommendations.

*"Look Who's on Top Now" appeared in The Wall Street Journal in Aug. 2013, which references Hulbert's rankings of the best performing stock picking newsletters over a 5-year period from 2008-2013.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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