October 28, Economic Pulse – Key Events This Week

Key Events This Week

Technology sector reporting

Next week will be full of financial reports, and investors will pay attention to the publications of major technology companies, which may determine the market dynamics for the rest of the year. Of particular interest will be the results of Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOGL) and Meta (NASDAQ: META). These companies, as market leaders, traditionally set the tone for the entire sector, and any unexpected results could affect market sentiment and lead to volatility in the Nasdaq.

Inflation and Labor Market Data in the U.S.

Economic data will also be in focus, with the Personal Consumption Expenditure (PCE) index and October employment data being the main focus. The PCE, the preferred inflation gauge for the Federal Reserve (Fed), will help investors gauge likely Fed action at meetings later in the year. Strong employment data and high inflation could increase the likelihood of the Fed maintaining a rate hike, which would put pressure on stock and futures markets.

Fed monetary policy meeting
The Federal Reserve will hold a monetary policy meeting on Wednesday, October 30, and investors are waiting for signals on future interest rate decisions. With high inflation and increasing uncertainty in global markets, any decision by the Fed, even maintaining current rates, could have a significant impact on the bond, futures and equity markets, especially rate-sensitive sectors such as real estate and technology.

Expected volatility in the oil market
Against the backdrop of ongoing conflict in the Middle East and fluctuating demand from China, oil prices are expected to remain highly volatile. News about demand in China and the position of OPEC+ countries may also have an impact on oil prices. Sharp fluctuations in oil prices will affect the quotations of oil and energy futures, which will be important for investors in the energy sector.

Bank of Japan meeting
The Bank of Japan meets next week and after the recent pressure on the yen, investors will be watching for potential signals of monetary policy adjustments. A stronger stance from the BoJ could have an impact on currency futures, especially USD/JPY, making the meeting an important event for international investors and traders in the FX markets.

Conclusion

Next week promises high volatility and uncertainty in the stock and futures markets due to the abundance of economic events and publications. Investors should be cautious and keep an eye on key reports and statements from central bankers, which could be catalysts for significant market movements.

Earnings Calendar

Monday, October 28

Bank of Hawaii Corp – benchmark for the banking sector in the US.
Ryanair Holdings – transportation and margin data is expected, especially taking into account the impact of rising fuel prices.

Tuesday, October 29

Caterpillar Inc – results in engineering and construction equipment, especially important for understanding global economic trends.
General Electric – the report will show how the company manages risk in energy and aviation.
McDonald’s Corp – a key benchmark for the consumer sector, especially given inflation trends.

Wednesday, October 30

Meta Platforms – the report will be important for understanding trends in digital advertising and the company’s AI plans.
Boeing Co – the company’s report is important for the aviation industry, especially in relation to manufacturing issues.
CME Group – the report is important for the financial sector and traders waiting for data on exchange activity.

Thursday, October 31

Apple Inc – report on iPhone sales, services and other products that will have a significant impact on the market.
Amazon.com – the report is important for the consumer and technology sectors, especially in terms of cloud computing and e-commerce data.
Intel Corp – A benchmark for the semiconductor industry, given the global demand for processors and chips for AI.

Friday, November 1

Exxon Mobil Corp
Chevron Corp – results from major oil companies that will provide insight into the energy sector.
AbbVie Inc – benchmark for the biopharmaceutical sector, especially for immunology and oncology products.

Volume analysis for the Euro, Oil and S&P500 futures are shown in the slides below.

Daily timeframes include volume support (indicated by green band) and resistance (indicated by red band).