The trading week ahead begins under the shadow of a prolonged U.S. government shutdown, which continues to delay key economic reports, including the crucial nonfarm payrolls data. Meanwhile, the U.S. Supreme Court is set to hear arguments on the legality of former President Donald Trump’s sweeping tariffs, while investors await quarterly results from Advanced Micro Devices (NASDAQ:AMD) and Palantir Technologies (NASDAQ:PLTR). The Bank of England’s upcoming policy decision also remains in focus, with expectations finely balanced.
1. U.S. data blackout continues
The ongoing federal shutdown—now nearing record length—has left investors without critical economic updates. While inflation data for September was released last month, other key reports, including job growth and labor turnover figures, remain unpublished.
Without these data points, Federal Reserve policymakers are struggling to gauge the health of the economy and fine-tune interest rate policy. After last week’s 25-basis point rate cut, Fed Chair Jerome Powell cautioned that officials might slow the pace of future cuts if economic visibility remains clouded by the lack of official reports.
This week’s expected nonfarm payrolls report and the JOLTS job openings survey will likely be delayed, depriving markets of the usual early-month indicators. According to analysts at Vital Knowledge, “in some ways, people are feeling even more confused than before,” as investors navigate a data vacuum despite major events such as central bank meetings, earnings releases, and U.S.-China trade talks.
While The Wall Street Journal reported some progress in negotiations to reopen the government, President Donald Trump’s insistence that Republicans bypass Democrats has cast doubt on a near-term resolution.
2. Supreme Court to weigh legality of Trump tariffs
Attention turns to Washington, where the Supreme Court will consider whether Trump overstepped his authority in imposing broad tariffs using emergency powers. The case follows lower court rulings that found his actions exceeded presidential limits under the 1977 International Emergency Economic Powers Act (IEEPA).
The outcome remains uncertain, though the 6-3 conservative majority has often sided with Trump in previous rulings. Trump is the first U.S. president to use IEEPA as justification for tariffs, citing the nation’s $1.2 trillion goods trade deficit in 2024 and deaths linked to fentanyl as justification. If the Court strikes down the tariffs, it could remove a key economic and diplomatic tool he has wielded during his second term.
3. AMD earnings in focus
In the corporate spotlight, Advanced Micro Devices will be the next major AI chipmaker to report results, following a wave of announcements in the artificial intelligence sector. According to Reuters, the U.S. Department of Energy recently entered a $1 billion partnership with AMD to build two new supercomputers aimed at tackling large-scale challenges such as cancer research and national security.
Additionally, AMD’s deal to supply AI chips to OpenAI could be worth several billion dollars in annual revenue, while giving the ChatGPT-maker about a 10% ownership stake. Analysts have compared this and similar partnerships to the dot-com era’s speculative cycle, raising concerns about a potential AI bubble.
AMD executives described the OpenAI partnership as “certainly transformative” for both the company and the broader industry. Shares have climbed more than 112% year-to-date, and results due Tuesday after market close will be closely watched for signs of sustained growth momentum.
4. Palantir results ahead
Palantir Technologies, another major name in the AI and defense software sectors, will also report earnings this week, with results expected Monday after the bell.
In August, the company raised its full-year revenue guidance for the second time in 2025, citing robust demand for its AI-driven services across both government and commercial clients. Its ties to U.S. defense initiatives have grown under the Trump administration, particularly as the Pentagon shifts toward using “non-traditional” suppliers.
Palantir’s stock has more than doubled this year, reflecting optimism about its position in the AI boom. Analysts expect Q3 operating profit of $255.6 million on $1.09 billion in revenue, according to Bloomberg estimates.
5. Bank of England decision uncertain
Following last week’s widely expected Fed rate cut and policy holds from the European Central Bank and Bank of Japan, attention turns to the Bank of England, where the outcome is less predictable.
Markets currently see a strong likelihood that the BoE will leave rates unchanged, though there remains about a one-in-three chance of a 25-basis point cut. A pause would mark the first break in a rate-cutting cycle that began in 2024.
Still, softer-than-expected inflation and wage data could prompt further easing. BoE Governor Andrew Bailey warned in September that the path ahead is “more uncertain,” reflecting concerns that underlying inflation may remain sticky even as growth weakens.
As global markets face mixed economic signals, investors will be closely monitoring data—or the lack thereof—as well as major central bank moves and AI-linked corporate updates for direction in the days ahead.