U.S. Government Shutdown Threatens Economic Data as Stocks Hit Records
A U.S. government shutdown, now in its sixth day, is causing ripples in the economic calendar. Next week's scheduled economic reports may face disruptions, while the stock market has so far remained resilient, reaching record highs for the S&P 500 and Nasdaq Composite.
The odds of the shutdown lasting more than 10 days have surged to 69% on the prediction market Kalshi, raising concerns about potential impacts on economic data releases next week. Meanwhile, investors seem unfazed, with Wall Street continuing to set new highs despite the political stalemate.
Key market events are still on the agenda for the coming week. Nike is set to release its second-quarter 2022 earnings on Tuesday, October 7. Other companies scheduled to report include Constellation Brands, PepsiCo, Delta Air Lines, Levi Strauss, Tilray, and Unity Bancorp. These reports, along with IPOs, investor days, and conference presentations, will provide insights into corporate performance and market trends.
As the shutdown enters its second week, its duration and potential effects on economic data remain uncertain. Despite this, the stock market has shown remarkable resilience, with investors focusing on corporate earnings and other economic indicators. Upcoming reports from major companies will offer valuable insights into the health of the economy and the market's prospects.
