Global Highlights for This Week: U.S. Q3 Earnings Season Kicks Off, U.S. Economy and AI Narrative Face Scrutiny
After the sharp sell-off across U.S. stocks, commodities, and cryptocurrencies late last Friday, this week’s market performance is naturally in the spotlight.
With the U.S. government shutdown ongoing, the lack of official economic data places a heavier burden on this week’s U.S. earnings season to shed light on the state of the economy.
Per the earnings schedule, JPMorgan Chase will lead Goldman Sachs, Citigroup, and Wells Fargo in reporting Q3 results before the market opens on Tuesday, followed by Bank of America and Morgan Stanley on Wednesday.
As a key player in the “AI narrative,” TSMC, which produces AI chips for Nvidia and AMD, will release its results on Thursday.
As of this report, there’s no sign of Congress reaching a temporary spending deal. The September CPI, originally set for this week, has been delayed to October 24, and other economic data will likely face indefinite postponements.
As a result, investors will closely scrutinize U.S. companies’ commentary on the economy and any indications of layoffs.
Meanwhile, companies that were vague on forward guidance in the past two quarters will face the limits of investor patience.
Eric Freedman, CIO of U.S. Bank Wealth Management, noted that while investors tolerated delayed guidance in prior quarters, they may not be as forgiving this time.
Companies are expected to provide clearer outlooks, and investors will make their tolerance thresholds clear.
Beyond earnings and economic data, this week features several notable thematic events.
As part of the Gaza ceasefire progress, Egypt’s presidency announced on Saturday that an international conference, the “Sharm El-Sheikh Peace Summit,” will be held on Monday, October 13, in the coastal city. Leaders from over 20 countries, including U.S. President Trump, are expected to attend.
The World Bank and IMF’s fall annual meetings will also take place this week, gathering senior economic officials from around the world.
Ahead of the Fed’s October meeting blackout period, Fed officials will be active this week, with Chair Jerome Powell speaking early Wednesday morning.
Governor Michelle Bowman and Christopher Waller, both seen as contenders for the next Fed chair, have public appearances scheduled.
On the corporate side, Nvidia’s Open Compute Project 2025 Global Summit and Oracle’s AI World Conference kick off on Monday. Salesforce’s Dreamforce 2025 begins Tuesday, featuring a speech by Alphabet CEO Sundar Pichai.
In aerospace, SpaceX plans its 11th Starship test flight this week, viewed as a “graduation exam” for the second-generation Starship. Rocket Lab, up 150% YTD, will conduct a launch for Japanese satellite firm Synspective.
Finally, per Microsoft’s years-old notice, after October 14, 2025, Windows 10 will no longer receive free software updates, technical support, or security fixes from Windows Update. Windows 10 users can pay for extended support, primarily aimed at enterprise clients.
Key Financial Events This Week
Monday: Nobel Prize in Economics announced, World Bank and IMF 2025 Fall Meetings (through October 18), Sharm El-Sheikh Peace Summit
Tuesday: Eurozone October ZEW Economic Sentiment Index, IMF releases *World Economic Outlook*, Microsoft ends Windows 10 support, Fed Vice Chair Bowman speaks
Wednesday: China September CPI, Fed Chair Powell speaks, U.S. October NY Fed Manufacturing Index
Thursday: Fed releases Beige Book, Fed Governor Waller speaks
Friday: Eurozone September CPI final reading