S&P 500 – 6,791.69 (+0.79%)

Dow Jones – 47,207.12 (+1.01%)

NASDAQ – 23,204.87 (+1.15%)

• Markets Rally as U.S. Equities Hit Record Highs on Lower-Than-Expected Inflation: U.S. equity markets rose Friday as inflation came in below expectations, sending the S&P 500 and Nasdaq to record highs, led by gains in technology and communication stocks.
• Trump Heads to Asia on Strategic Mission to Secure Trade, Critical Minerals, and Ceasefire Agreements Amid Uncertain Xi Meeting: Trump heads to Asia to secure trade, critical mineral, and ceasefire deals amid an uncertain meeting with Xi.
• ExxonMobil Sues California Over Climate Disclosure Laws, Claiming First Amendment Rights Are Violated by Forced Corporate Accountability: ExxonMobil sues California over climate disclosure laws, citing first amendment violations.
• Trump Imposes Additional 10% Tariff on Canada in Retaliation for Controversial Ronald Reagan Advertisement: Trump imposes an additional 10% tariff on Canada over a controversial Reagan ad.
• Big Tech and Corporate Giants Contribute to Trump’s $300 Million White House Ballroom Project: Big Tech and corporate donors back Trump’s $300 million White House ballroom.
• Former Stellantis CEO Warns Tesla Could Exit the Automotive Industry Within a Decade Amid Rising Competition from BYD: Ex-Stellantis CEO warns Tesla could exit the auto industry within 10 years.
• Trump Terminates Trade Negotiations with Canada Following Disputed Ontario Advertisement Criticizing U.S. Tariffs: Trump ends trade negotiations with Canada following a disputed Ontario ad.
• U.S. Treasury Yields Fall as 10-Year Note Drops to 4% Amid Market Shifts: 10-year U.S. Treasury yield dips to 4.00% as bond prices rise.
• Oil Prices Surge Over 5% Following U.S. Sanctions on Major Russian Exporters Rosneft and Lukoil: Crude oil rises over 5% after new U.S. sanctions on Rosneft and Lukoil.
• Gold and Silver Rebound Strongly Before Slight Pullback in Friday Trading: Gold and silver rebound before easing slightly in Friday trading.
• Bitcoin Nears $112,000 as Crypto Markets See Renewed Strength.
• European Markets Gain Momentum as Eurozone Flash Composite PMI Hits Fastest Growth Since May 2023: European markets advance as the S&P Eurozone Flash Composite PMI climbs to 52.2, its fastest pace since May 2023.
• Inflation Moderates as September CPI Shows 3% Increase Year-Over-Year, Housing Costs Continue to Rise: September CPI shows inflation up 3.0% year-over-year, slightly below forecasts. Gasoline prices rise 4.1% month-over-month. Case-Shiller Home Price Index rises 1.7% year-over-year; Zillow Observed Rent Index up 2.3%.
• U.S. Services and Manufacturing PMI Show Strong Growth Despite Weaker Exports: S&P Flash U.S. Services PMI jumps to 55.2 in October, beating expectations; manufacturing PMI improves to 52.2.
• Corporate Earnings Highlight Strong Tech and Industrial Performance Amid Mixed Market Signals:
  • Intel beats earnings and revenue estimates, citing strong AI product growth.
  • Ford reports $2.6B operating profit on $46B revenue, plans F-Series expansion.
  • Tesla posts 37% quarterly profit drop amid optimism for future growth.
  • Baker Hughes rises on earnings but slides on profit-taking; Newmont falls on weak guidance.
  • Dow reports narrower-than-expected losses; Procter & Gamble beats expectations but warns of $400M tariff costs.
  • General Dynamics posts strong revenue and profit growth; Alphabet climbs on AI expansion and strong advertising trends.
  • HCA Healthcare exceeds earnings expectations; Deckers Outdoor falls despite beats on revenue and earnings.
  • Coinbase upgraded by JPMorgan, citing valuation and blockchain potential.
• VanEck Files for Lido Staked Ethereum ETF Offering Direct Exposure to stETH Through the Lido Protocol: VanEck files for Lido Staked Ethereum ETF, offering exposure to stETH via the Lido protocol.

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“The White House is a place to work, not a place to rest.” 

-Theodore Roosevelt

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Notable Stocks

• Apple (AAPL)
• Tesla (TSLA)
• Intel (INTC)
• Ford (F)
• Coinbase (COIN)

Weekly Notables

ExxonMobil Sues California Over Climate Disclosure Laws, Citing Free Speech Violations

Exxon Mobil Corporation has filed a lawsuit against the state of California, arguing that two 2023 climate disclosure laws violate its First Amendment rights by compelling the company to endorse the view that large corporations are primarily responsible for climate change. The Texas-based oil and gas giant filed the complaint Friday in the U.S. District Court for the Eastern District of California, seeking to block the laws from taking effect next year. ExxonMobil said it already discloses greenhouse gas emissions and climate-related business risks, but it “fundamentally disagrees” with California’s new mandates.

Ex–Stellantis Chief Warns Tesla May Quit the Auto Industry Within a Decade

Once hailed as the ultimate industry disruptor, Tesla may not even exist a decade from now — at least according to former Stellantis CEO Carlos Tavares, who says Elon Musk could eventually walk away from the car business altogether. Tavares, who stepped down from Stellantis last year, told French newspaper Les Echos that Chinese automaker BYD has overtaken Tesla in both efficiency and global EV sales — and that Musk might soon shift focus to his other ventures. “We can’t rule out that at some point, he’ll decide to leave the automotive industry to refocus on humanoid robots, SpaceX, or artificial intelligence,” Tavares said. “Elon Musk will have left the automotive industry.”

Earnings Spotlight: Microsoft (MSFT)

Microsoft reports its FY1Q26 earnings on October 29. Two major firms have weighed in with optimistic outlooks ahead of the release. Wedbush analyst Daniel Ives maintains his Buy rating with a $625 price target. TD Cowen also reiterates its Buy rating with a $640 price target. Both analysts see Microsoft pulling ahead in the enterprise AI race against Amazon and Google. 

What to Watch Ahead:

Economic:

• Monday (Oct. 27): Durable Goods Orders
• Tuesday (Oct. 28): Consumer Confidence, FHFA Housing Price Index, S&P Case-Shiller Home Price Index
• Wednesday (Oct. 29): Advanced International Trade in Goods, Advanced Retail Inventories, EIA Crude Oil Inventories, FOMC Rate Decision, MBA Mortgage Applications Index, Pending Home Sales
• Thursday (Oct. 30): Continuing Claims, EIA Natural Gas Inventories, Q3 GDP Advanced Reading, Initial Claims
• Friday (Oct. 31): Chicago Purchasing Managers' Index (PMI), Employment Cost Index, personal consumption expenditures (PCE) Prices, PCE Prices -Core, Personal Income, Personal Spending

Earnings:

• Monday (Oct. 27): Alliance Resource Partners (ARLP), Bank of Hawaii Corp. (BOH), Cadence Design Systems, Inc. (CDNS), Carter's, Inc. (CRI), Daqo New Energy Corp. (DQ), Keurig Dr. Pepper, Inc. (KDP), Nucor Corp. (NUE), Waste Management (WM)
• Tuesday (Oct. 28): American Tower Corp. (AMT), Booking Holdings, Inc. (BKNG), Corning, Inc. (GLW), Ecolab, Inc. (ECL), Electronic Arts (EA), Nextera Energy, Inc. (NEE), Seagate Technology Holdings PLC (STX), UnitedHealth Group, Inc. (UNH), United Parcel Service, Inc. (UPS), Visa (V)
• Wednesday (Oct. 29): Agnico Eagle Mines Ltd. (AEM), Alphabet, Inc. (GOOGL), Automatic Data Processing (ADP), Boeing Co. (BA), Caterpillar, Inc. (CAT), CVs Corp. (CVS), Meta Platforms, Inc. (META), Microsoft Corp. (MSFT), Starbucks (SBUX), ServiceNow, Inc. (NOW), Verizon Communications, Inc. (VZ)
• Thursday (Oct. 30): Amazon.com, Inc. (AMZN), Apple, Inc. (AAPL), Anheuser-Busch Inbev SA (BUD), Coinbase Global, Inc. (COIN), Comcast Corp. (CMCSA), Eli Lilly & Co. (LLY), Gilead Sciences, Inc. (GILD), Mastercard, Inc. (MA), Merck & Co., Inc. (MRK)
• Friday (Oct. 31): Abbvie Inc. (ABBV), AON PLC (AON), Canadian National Railway Co. (CNI), Chevron Corp. (CVX), Colgate-Palmolive Co. (CL), Dominion Energy, Inc. (D), Exxon Mobil Corp. (XOM), WW Grainger, Inc. (GWW)