Overview
Today's U.S. stock market experienced a decline as investors shied away from risk assets in anticipation of NVIDIA earnings and employment report releases. These two events are considered pivotal for the market outlook for the remainder of 2025. The S&P 500 index fell nearly 1%, ending a 10-week streak of Monday gains, with many analysts concerned about the break below the 50-day moving average.
As we approach the week, the market's attention is focused on the major events ahead. The most anticipated is the release of NVIDIA's earnings scheduled for late this week. A strong earnings report could boost stock prices and support the market, whereas a disappointment could add downward pressure. Bloomberg indicated that option traders are expecting about 6.5% volatility, the highest implied volatility in a year. Additionally, traders await the September U.S. employment report, delayed for over a month, as it plays a crucial role in shaping expectations for the Federal Reserve's interest rate cuts.
| Nasdaq Composite | S&P 500 |
| Dow Jones Industrial Average | 1 South Korean won equals |
A Major News Story
The market reacted to NVIDIA's fluctuation as Peter Thiel's hedge fund, Thiel Macro, reportedly sold its entire stake in the company last quarter, causing a drop in stock prices. Conversely, Berkshire Hathaway rose following news of Warren Buffet's acquisition of a $4.9 billion stake in the third quarter. Federal Reserve views were mixed, with Vice Chair Jefferson highlighting growing downside risks in the labor market but emphasizing caution, while Waller supported a December rate cut citing employment weakness.
Tomorrow's Economic Indicators
| Time | Economic Indicator |
|---|---|
| 8:15 AM | U.S. September ADP Private Employment Report |
| 9:00 AM | U.S. Johnson Redbook Retail Sales Index |
| Noon | U.S. November NAHB Housing Market Index |
| 12:30 PM | Federal Reserve Chair Powell's Speech |
General Opinion
The market will closely follow MVID's earnings release and employment report this week. These events are likely to be critical in determining the direction of the market. Investors hope for a robust MVID earnings announcement to tame recent market volatility and support a positive market sentiment.
