US-China Summit, FOMC, and Big Tech Earnings to Dominate a ‘Super Week’ for Stocks
The New York stock market faces a pivotal week (October 27 – October 31) packed with high-stakes events, including a summit between the US and China, a Federal Reserve policy meeting, and a flurry of earnings reports from major technology companies.
The impending meeting between US President Donald Trump and Chinese President Xi Jinping in Busan on October 30th, coinciding with the Asia-Pacific Economic Cooperation (APEC) summit, is drawing the most attention from Wall Street. The potential impact of remarks from both leaders is significant, recalling a previous instance where President Trump’s announcement of increased tariffs on China led to a 3.56% drop in the NASDAQ index, heavily weighted with technology stocks. Despite past tensions, recent high-level trade talks have reportedly been “very constructive,” according to the U.S. Treasury Department.
Equally important is the Federal Open Market Committee (FOMC) meeting, scheduled for October 28th and 29th. With key economic data releases delayed due to the ongoing US federal government shutdown, investors will be closely scrutinizing the Federal Reserve’s assessment of the current economic landscape, particularly Chairman Jerome Powell’s post-meeting press conference. Market consensus currently anticipates a 25 basis point cut to the federal funds rate, and speculation is building around the potential end of quantitative tightening (QT). One analyst noted that if the Fed refrains from absorbing market liquidity as QT concludes, it could trigger a “US Treasury yield decline → stock market rally.” Chairman Powell previously indicated that the end of QT could be approached “in the next few months,” contingent on monitoring a range of economic indicators.
Adding to the intensity, five of the “Magnificent Seven” – Microsoft, Meta Platform, Alphabet, Apple, and Amazon – are set to report their earnings this week. Microsoft, Meta, and Alphabet will release results on October 29th, followed by Apple and Amazon on October 30th. Wall Street is particularly focused on the scale and performance of artificial intelligence (AI)-related capital expenditures (CAPEX) within these companies. A director of portfolio consulting at Wealth Enhancement Group cautioned that a slowdown in AI spending by Meta could signal a retreat from its AI ambitions.
Looking beyond the tech giants, investors are also anticipating earnings reports from global bio companies including Gilead Sciences, Biogen, Eli Lilly, and Merck & Co. over the next 30 days.
The ongoing US government shutdown continues to impede the release of crucial economic indicators. Scheduled releases for September’s personal consumption expenditures (PCE) and the preliminary third-quarter gross domestic product (GDP) have been postponed.
Key Dates and Events:
- October 27th: September Durable Goods Orders, October Dallas Federal Reserve Manufacturing Index
- October 28th: August S&P Case-Shiller housing prices, October Conference Board Consumer Confidence Index, October Richmond Fed Manufacturing/Service Industry Index; Earnings reports from Visa, Cisco, Electronic Arts, PayPal Holdings, and United Health Group.
- October 29th: FOMC meeting, September Goods Trade Balance, September Pending Home Sales; Earnings reports from Microsoft, Meta Platform, Alphabet, Starbucks, Chipotle Mexican Grill, eBay, Boeing, Philips 66, Verizon Communications, and Caterpillar.
- October 30th: US President Trump-Chinese President Xi Jinping Summit, Preliminary 3rd quarter US GDP, Number of new unemployment claims; Earnings reports from Apple, Amazon, Comcast, Mastercard, Gilead Sciences, Biogen, Eli Lilly, Merck & Co., Hershey, and Western Digital.
- October 31st: September Personal Consumption Expenditures (PCE), Speech by Rory Logan, President of the Dallas Fed; Earnings reports from Exxon Mobil and Chevron.
The confluence of these events creates a uniquely volatile and potentially transformative week for the New York stock market, setting the stage for continued market movement through the end of 2025 and into 2026, according to a global chief strategist at Freedom Capital Markets.
