Developments in the Iran conflict will remain a top focus for investors this week, but economic data and corporate events will also clamor for attention after another down week for stocks. Employers cut jobs in February, and economists will watch a string of reports this week for insight into the strength of the U.S. jobs market. Retail sales, consumer confidence, and the U.S. trade balance will also be in focus. Nike is reporting earnings with its ongoing turnaround efforts hampering its stock. Meanwhile, Conagra Brands and other food companies are set to report this week, providing insight into consumer spending on staples.

Fed Watches for Labor-Market Weakness
The U.S. jobs report for March will be released Friday. Economists are closely watching the labor market after it recently showed signs of weakness: Employers cut 92,000 jobs in February. Earlier in the week, investors will get a look at private sector hiring in March with the Wednesday release of the ADP employment data. Worries over labor market weakness led the Federal Reserve to enact a series of interest rate cuts at the end of 2025. Since then, rising inflation readings have prompted the central bank to keep rates steady. Continued weakness in the labor market could put more pressure on the Fed.

Shoppers slowed their purchasing to start the year, with economists pointing to poor weather dragging down sales, and Wednesday’s release of the U.S. retail sales report for February will show if that slowness continued. Consumer spending makes up about two-thirds of the U.S. economy. The Tuesday release of the consumer confidence report for March will also be in focus, as it will likely capture public sentiment over the impact of the U.S.’s conflict with Iran.

Nike Reports as Analysts See Upside for Shoe Maker
Sporting goods apparel maker Nike, a component of the Dow Jones Industrial Average, will report its quarterly earnings this week amid a slide in its stock price this year as the company continues its turnaround efforts. Some analysts think the recent decline may signal a low point for the company, with Barclays recently upgrading the stock after noting that the firm’s financials may have hit a “fundamental bottom.” Analysts see a potential upside of 30% or more for Nike’s stock.
Conagra Brands, which makes Slim Jim and other popular grocery store brands, reports its earnings this week amid an 11% decline in its stock price this year. Investors will also get reports from other noteworthy food sellers, including spice company McCormick & Co., potato producer Lamb Weston, and egg supplier Cal-Maine.

What analysts are saying about U.S. stocks
Morgan Stanley: “We think the equity market is less complacent on growth risks than consensus believes—over 50% of the Russell 3000 is down more than 20%, and the S&P multiple is now down over 15%. We also see differences vs. prior periods where an oil spike ended the business cycle. Rate move is a potential risk.”

Goldman Sachs: “Positioning at current levels appears insufficient to drive the market higher without an improvement in the fundamental outlook, and the market’s pricing of economic growth indicates further potential downside to stocks if the conflict continues to escalate.” “The upcoming Q1 reporting season will be a key source of information regarding the earnings outlook but a challenging trading environment for stock pickers.”

Stifel: “Our S&P 500 target remains unchanged at 7,000 (lowest on Street) as our 2026 thesis plays out: meaningful P/E ratio compression offsetting mid-teens EPS growth. While most analysts fixate on earnings, we focus on valuation as market cycles pivot on the growth rate of the P/E ratio (not EPS).”

RBC Capital Markets: “…if recession or severe domestic growth shock fears start to emerge in a serious way, it could be enough to pull the S&P 500 into tier-2 growth-scare territory on a short-term basis.”