Key points:

• Nasdaq hits new record close
• S&P 500 closes above 6,800
• Fed decision looms Wednesday

Big gains to start a big week with even bigger expectations.

🚀 Record Highs Everywhere

• The Nasdaq Composite index IXIC jumped 1.9% Monday, leading a fresh record-breaking rally across Wall Street’s major indexes.
• The S&P 500 closed above 6,800 for the first time ever, while the Dow Jones Industrial Average also notched a record finish.
• The tech-heavy Nasdaq has now rallied for three straight sessions, driven by strength in the Magnificent Seven and renewed investor confidence in the Fed’s ability to guide markets into a looser monetary policy.

🏦 Fed Meeting Begins

• Tuesday marks the start of the Fed’s two-day meeting, where the central bank is widely expected to cut interest rates for the second time this year.
• Traders are betting on a quarter-point reduction, with a growing number expecting another cut in December, as Chair Jay Powell navigates a tricky balance between sticky inflation and a weakening labor market.
• The meeting takes place amid a government data blackout caused by the ongoing US shutdown — meaning policymakers are making decisions with fewer fresh economic indicators than usual.

💻 Big Tech Earnings on Deck

• Investors are bracing for a monster earnings lineup midweek, with Alphabet, Amazon, Apple, Meta Platforms, and Microsoft — five of the mighty “Magnificent Seven” — set to report Wednesday and Thursday.
• These giants now represent roughly one-quarter of the S&P 500’s total market cap, or about $12 trillion, meaning their results could swing the entire index.
• So far, third-quarter earnings season has started strong, with most major companies beating expectations — fueling hopes for another round of record highs.

🛒 Amazon, Gold, and Crypto

• Elsewhere, Amazon shares edged up Monday after reports of sweeping layoffs that could see up to 30,000 corporate staffers pack and leave, marking the largest workforce reduction in its history.
• Gold prices continued their pullback, trading around $3,950 per ounce early Tuesday — well below last week’s record near $4,400 — as investors rotated into equities and risk assets.
• Bitcoin was steady near $113,000, consolidating after a volatile few sessions driven by shifting expectations for Fed policy and global trade developments.

Source: Tradingview