Positive Inflation Attitude Helps Walmart Stock

Walmart (WMT) stock is up by 1.16% today as the stock market continues to regain its losses from earlier in August. The retail giant will be releasing its quarterly earnings this Thursday.

Investors are optimistic about Walmart’s revenue and stock shares as well as the trajectory of US inflation. The constant dread of rising inflation has lifted slightly recently with a positive jobless claims report as well as statements from the Federal Reserve that interest rate cuts could be coming soon. There was also some positive news from the ISM Non-Manufacturing Index, which showed that the US service sector was growing.

All of this helps Wal-Mart sit better with investors, as the company is anticipating increased revenue and share price growth for the quarter that just finished. For the stock price to be rising so well several days ahead of the earnings report is good news.

Walmart Stock Price Recent Performance

Like much of the stock market, Walmart’s stock took a dive in early August but has since managed a decent recovery. From $71 per share in the middle of July, the stock dipped down to $66.91 per share in early August. The stock has since made a decent recovery and is now at $69.11 per share.

We anticipate Walmart stock will continue to rise, especially if economic indicators keep looking positive. US CPI data is due out this week, and that should indicate where US inflation is headed. We expect this data to directly impact the stock market, and major retailers like Walmart are going to feel some of that.

If that data comes out positive, then Walmart stock could go much higher. The one-two boost of inflation data and the quarterly report. This could be a stock that is about to take off, but if either of these reports comes out negative, then expect the stock to dip slightly, though not dramatically.