Palantir reports, AMD and rare employment data: what to expect for investors this week
The US government shutdown is now in its second month and is about to become the longest in history. However, Wall Street does not seem to care: all three major U.S. stock indices reached highs last week. Quotes were supported by the US Federal Reserve rate cut, the de-escalation of trade tensions after the meeting between President Donald Trump and his Chinese counterpart Xi Jinping, as well as the still high interest in stocks related to artificial intelligence, writes Barron's.
This week, betting on AI will remain in the spotlight on Wall Street as Palantir, AMD, Supermicro and Constellation Energy are expected to report quarterly results, Yahoo Finance notes. The third-quarter reporting season is going well so far, with nearly two-thirds of the companies in the S&P 500 index reporting results and more than 80% of them beating earnings estimates, Barron's calculates.
As for macrostatistics, the shutdown is likely to delay the release of official data on the US labor market for the second month in a row. The key labor market indicator this week will be the monthly ADP report on private sector employment in the world's largest economy, Yahoo Finance suggests.
On Monday, November 3, the Institute for Supply Management (ISM) will publish the business activity index (PMI) in the U.S. manufacturing sector for October. Barron's consensus forecast suggests a reading of 49.4 points - slightly above September's reading.
PMI in China's manufacturing sector in October declined compared to September and fell short of the consensus forecast, Trading Economics reported citing S&P Global. At the same time, employment in the country increased for the first time in seven months, and its growth was the fastest in more than two years.
ON Semiconductor, Palantir Technologies and Vertex Pharmaceuticals will announce quarterly results.
AMD, BP, BP, Ferrari, Marathon Petroleum, Nintendo, Pfizer, Spotify, Supermicro, Uber and Yum! Brands will disclose their financial results on Tuesday, November 4.
On Wednesday, November 5, ADP will release the U.S. employment report for October. Wall Street forecasts a 30k increase in private sector employment after a 32k decline in September. ISM will report the services sector PMI for October. The consensus forecast is 50.9 points - one point higher than in September.
Albemarle, Arm Holdings, BMW, McDonald's, Qualcomm, Robinhood Markets and Toyota Motor will report earnings for the quarter.
On Thursday, November 6, the Bank of England will make a decision on the interest rate. Most market participants expect the central bank to keep it at 4%. Financial markets in the UK put in quotes only 31 percent probability of a rate cut at this meeting, reports The Wall Street Journal citing data from LSEG.
Reporting will be disclosed by Airbnb, AstraZeneca, Block, ConocoPhillips, Moderna, NRG Energy, Ralph Lauren, Take-Two Interactive Software and Warner Bros. Discovery.
On Friday, November 7, the University of Michigan will release the results of its November consumer sentiment survey. The consensus forecast calls for a reading of 53.2 points, up from 53.6 in October. U.S. consumer sentiment remains weak despite record highs in stock indexes, Barron's notes. In October, inflation expectations were 4.6% for the coming year and 3.9% for the longer term.
China will release foreign trade data for October. Nomura analysts expect a sharp slowdown in export growth to 3% year-on-year from 8.3% in September, as well as a decline in import growth to 5% from 7.4%, which will lead to a slight increase in the country's trade surplus.
Constellation Energy will report quarterly results.
This article was AI-translated and verified by a human editor
