What's Happening?
The Federal Reserve is expected to cut interest rates for the second time this year, amid fears of labor market weakness. The rate cut decision arrives as inflation remains above the Fed's target level. Meanwhile, major earnings reports from tech leaders
Apple, Microsoft, Meta, Amazon, and Alphabet are anticipated, with a focus on artificial intelligence developments. The U.S. government shutdown continues to impact economic data releases, affecting reports on inflation, factory orders, and trade balance.
Why It's Important?
The Fed's interest rate decision and earnings reports from major tech companies are key events for investors, influencing market movements and economic outlook. The rate cut aims to spur business activity and job creation, but may also exert upward pressure on prices. The earnings reports provide insights into AI spending and tech industry trends, affecting stock prices and investor sentiment. The government shutdown's impact on data releases adds uncertainty to economic assessments.
