The three major U.S. stock indices experienced a third consecutive day of gains, with investors closely monitoring upcoming economic data, including initial jobless claims, personal income, consumer spending, and the Personal Consumption Expenditures price index.
Notably, Treasury Secretary Scott Bessent discussed the current state of AI-related debt, suggesting that it is not problematic despite market hesitance towards ratings of AI-adjacent businesses. Jeffrey Gundlach from DoubleLine indicated a potential interest rate hike in December, which could influence market dynamics.
In corporate news, Caterpillar's shares have dropped 15% over three months, while Merck has seen a 7% increase in the same period. Microsoft reported better-than-expected earnings, leading to a 3% rise in after-hours trading. Conversely, Alphabet's shares fell 10% after missing earnings estimates.
Chipotle's shares rose 7% after reporting increased same-store sales despite missing earnings expectations. Rivian is set to report its earnings, with its shares down 30% over the past three months. Overall, the article underscores the volatility in the market and the significance of upcoming earnings reports and economic indicators for investors