Q4 Begins Amid Turbulent Markets and Election Uncertainty

The Global Week Ahead brings several significant events that could impact the financial markets. The quarter four (Q4) is about to begin, and investors are looking for signs of what's to come. The U.S. midterm elections on November 3 are expected to be a major event, with polls suggesting Donald Trump's Republican party might lose the House of Representatives.

Micron Technology will release its latest earnings report after the bell on Wednesday, providing insight into the semiconductor industry. Micron has been a big beneficiary of the AI trade, but its shares have fallen by more than 6% in the quarter, and the Philadelphia Semiconductor Index has shed an even steeper 14%. The company's guidance could soothe nerves about the AI spending boom or indicate that it's losing momentum.

U.S. nonfarm payrolls for September will be released on Friday, along with U.S. and Eurozone inflation data. These numbers are expected to shape expectations for interest rates and impact the economy's strength. The Federal Reserve is likely to hike interest rates again in October, but futures pricing suggests a 50/50 chance.