Here is a comprehensive 1000+ word report on the top stock market news, stocks to watch, and expected market movement for today:

Daily Stock Market Report

Top Stock Market News

1. Stocks Plunge as Inflation Data Rattles Markets

Equity markets tumbled on Friday after the latest U.S. inflation data showed consumer prices surged more than expected in May, stoking fears of more aggressive interest rate hikes from the Federal Reserve. The S&P 500 sank 2.9% to mark its ninth losing week in the last ten, while the tech-heavy Nasdaq Composite plummeted 3.5%. Treasury yields spiked as traders priced in a higher terminal rate, with the 10-year yield climbing to 3.16%.

2. Rising Yields and Economic Concerns Weigh on Markets

Global markets were broadly lower as rising Treasury yields and lingering economic growth concerns dented risk appetite. The euro fell to a one-month low against the U.S. dollar after French President Emmanuel Macron suffered a legislative election setback. Meanwhile, European bond yields surged, with the 10-year German bund yield reaching its highest level since 2014 at 1.51%.

3. Nvidia Touts New AI Growth Catalyst

Nvidia (NVDA) garnered attention after the chipmaker touted its potential $10 billion opportunity in the AI cloud services market. The company reportedly plans to offer cloud computing services optimized for AI applications, leveraging its strength in developing powerful chips and software for artificial intelligence. While still in its early stages, Nvidia's cloud AI ambitions could open up a lucrative new growth vector.

Top Stocks to Watch

1. Broadcom (AVGO)

Broadcom, a leading semiconductor company, is scheduled to report fiscal Q2 2024 earnings on June 12th. Analysts expect the chipmaker to post a 34% year-over-year increase in revenue, driven by strong demand for its data center and networking chips. Investors will be closely watching for any guidance updates amid concerns over slowing enterprise spending.

2. Apple (AAPL)

Tech giant Apple hit a major milestone this week, briefly reclaiming a market capitalization above $3 trillion after breaking out of a base. The iPhone maker's shares have rallied over 40% year-to-date, fueled by optimism around its AI capabilities and upcoming product launches. Apple remains a focal point for many investors given its massive size and influence.

3. D.R. Horton (DHI)

Homebuilder D.R. Horton has been highlighted as a potential buy candidate amid expectations of a housing market rebound. Despite recent economic headwinds, the company has continued to post solid earnings growth driven by robust demand and pricing power. D.R. Horton's diversified geographic footprint across 33 states could also insulate it from regional housing market volatility.

4. Western Union (WU)

Western Union, a global money transfer leader, has emerged as an attractive income stock with its high dividend yield currently around 7%. The company's resilient business model and strong cash flow generation have enabled it to maintain its dividend payments even during challenging economic conditions. However, investors will be monitoring Western Union's efforts to adapt to the growing digital payments landscape.

5. Kraft Heinz (KHC)

Consumer staples giant Kraft Heinz has garnered attention as a defensive stock pick amidst market uncertainty. The company's portfolio of well-known brands, such as Kraft, Heinz, and Oscar Mayer, provides a steady stream of recurring revenue. Additionally, Kraft Heinz's cost-cutting initiatives and pricing power could help offset inflationary pressures and support profitability.

Stock Market Expected Movement

Based on the recent economic data and market sentiment, analysts anticipate continued volatility in the stock market in the near term. The higher-than-expected inflation reading has increased the likelihood of more aggressive interest rate hikes by the Federal Reserve, which could further pressure equity valuations and corporate earnings outlooks.

However, some market strategists believe the selloff could present buying opportunities for investors with a longer time horizon, particularly in sectors and companies with strong pricing power and resilient business models. Defensive sectors like consumer staples, healthcare, and utilities may continue to outperform as investors seek shelter from market turbulence.

Overall, market participants will be closely monitoring upcoming economic data releases, corporate earnings reports, and any developments regarding the Federal Reserve's monetary policy stance. Investors should brace for potential swings in both directions as the market navigates the evolving economic landscape and adjusts to the changing interest rate environment.