Fox operates in two segments: cable networks and television. Cable networks primarily includes Fox News, Fox Business, and several pay-TV sports stations. Television primarily includes the Fox broadcast network, 29 owned and operated local television stations, of which 18 are affiliated with the Fox network, and streaming platform Tubi, which is not subscription-based and is completely ad-supported. Fox effectively sold most of its entertainment assets to Disney in 2019, so it no longer creates entertainment content and relies heavily on live news and sports, with nearly all tied to the pay-TV bundle. The Murdoch family controls Fox.

Fox Corp. produces and distributes news, sports and entertainment programming through its U.S. domestic cable and broadcast television networks, including owned and affiliated local television stations. Fox network brands include FOX News, FOX Sports, and The FOX Network. Fox changed its name from Twenty-First Century Fox when it divested certain assets - including its film and television studios, cable entertainment networks, U.S. regional sports networks, and international sports and entertainment television distribution businesses - to Disney on March 20, 2019. Founder Rupert Murdoch and the Murdoch family trust retain a controlling interest of almost 40% in the company.

Many of the most-prominent economists in the country, including Federal Reserve Chairman Powell, head to Jackson Hole this week. Meanwhile, a few more key earnings report are due. Last week, the Dow Jones Industrial Average was up 2.9%, the S&P 500 gained 3.9%, and the Nasdaq popped 5.3%. Year to date, the DJIA is higher by 8%, the S&P is up 16%, and the Nasdaq is ahead by 17%. On the economic calendar, the schedule is light this week. On Friday, Mr. Powell takes the podium in Jackson Hole. A good amount of data about inflation and labor has hit the tape since he last spoke publicly, so his speech this week should get attention. In related news, the minutes from the Fed's July rate meeting will be out on Wednesday, and Existing Home Sales will be reported on Thursday. The earnings calendar is light, but does include some big reports. On Monday Palo Alto Networks and Estee Lauder will report. On Tuesday, Lowe's, Toll Brothers, and Medtronic. On Wednesday, Target, TJX Companies, Macy's, Analog Devices, and Agilent. And on Thursday, Intuit, Peloton, and CAVA. Earnings are coming in 12.5% higher this quarter than a year ago, this after 93% of S&P 500 companies have reported. Financial and Healthcare are the leading sectors, both up 20% for the quarter compared to the same quarter last year. Materials is on at other end, down 6%. Expectations were for 8%-12% earnings growth in 2Q. Last week, data on inflation continued to show improvement. CPI posted at 2.9% for July compared to 3.0% for June. Core CPI was 3.2% versus 3.3% the month prior. Mortgage rates inched up two basis points (bps) to 6.49% for the average 30-year fixed-rate mortgage. Gas prices fell four cents to $3.41 per gallon for the average price of regular gas. The Atlanta Fed GDPNow indicator is forecasting for 3Q and calls for expansion of 2.0%. The Cleveland Fed CPINow indicator forecasts 2.6% for August CPI. Looking ahead, the next Fed rate decision is on September 18, with odds at 100% for a rate cut. Of that, 75% expect a 25-bps cut and 25% look for a 50-bps cut. There are two more Fed rate meetings this year, the first on November 7 (just after the U.S. presidential election) and the second on December 18. We have adjusted our rate forecast and now expect three rate cuts this year (up from two) for a total of 75 bps. We see two rate cuts in 2025. We expect all the cuts to be 25 bps.

Fox operates in two segments: cable networks and television. Cable networks primarily includes Fox News, Fox Business, and several pay-TV sports stations. Television primarily includes the Fox broadcast network, 29 owned and operated local television stations, of which 18 are affiliated with the Fox network, and streaming platform Tubi, which is not subscription-based and is completely ad-supported. Fox effectively sold most of its entertainment assets to Disney in 2019, so it no longer creates entertainment content and relies heavily on live news and sports, with nearly all tied to the pay-TV bundle. The Murdoch family controls Fox.