Kim Kahn

His takeaway?

Stay diversified across asset classes, sectors, market caps, and investing styles.

Hello, today is Sunday, February 1st, and I'm your host, Kim Kahn.

This week brings another dose of the mega and the macro.

More mega-cap earnings arrive alongside the January jobs report.

Economists spec non-farm payrolls rose by 68,000 last month, with the unemployment rate holding steady at 4.4%.

But this time the job numbers come with a twist.

The actual figures may play second fiddle to what new FedShare nominee Kevin Warsh has to say about them.

If payrolls come in hotter than expected, does he still stick to the White House script that rates need to come down?

Seeking alpha analyst Hawk Invest says the labor market could deteriorate rapidly from here, with AI giving companies an option to increase layoffs and forego new hires.

They add that if the job market continues to soften, it could ease inflation pressures through 2026 and give the Fed more room to cut than some policymakers currently expect.

Turning to the earnings calendar, two more mega caps are up this week, Alphabet reports Wednesday and Amazon reports Thursday.

Amazon is expected to post EPS of $1.94 on revenue of $211 billion or so, and analysts are leaning toward the upside surprise.

Seeking off analyst Neville Capital says AWS capacity additions, including more than a gigawatt in Q4, could help convert backlog into revenue, as AI infrastructure demand continues to outpace supply across regions.

Neville also points to Amazon's recent layoffs, roughly 10% of its corporate workforce, as another potential tailwind as the company shifts from high-cost labor toward AI-driven agents and machine learning models.

That theme is still echoing across big tech.

Beyond the mega caps, it's a packed week.

Monday brings results from Palantir, a seeking off a favorite, and Walt Disney.

Tuesday is busy with AMD, Merck, PepsiCo, Amgen, and Pfizer.

Wednesday has Eli Lilly, AbbVie, Uber, and Qualcomm.