Fed Decision, Big Tech Earnings Dominate Crucial Week for US Stock Market

The US stock market is facing a crucial week as four of the 'Magnificent Seven' companies prepare to announce their earnings, with investors focusing on AI infrastructure and capital expenditure plans.

Meanwhile, the Federal Reserve will meet for two days to decide on interest rates, with markets expecting no change in July but a possible hike at the September meeting.

The Fed's press conference may be more interesting than the rate decision itself, as officials are concerned about AI spending contributing to inflation. Kevin Warsh is likely to announce unchanged rates, keeping the federal funds rate at 3.5%-3.75% on Wednesday, July 29.

Volatility in oil prices will also play a key role in determining interest rates ahead, with Brent crude declining towards $90 per barrel after the US and Iran halted strikes over the weekend.