The Nikkei 225 Index remains in a bull run, helped by numerous catalysts from Japan and other countries. It was trading at ¥49,300 on Friday, and odds are that it will keep soaring this week. It has jumped by 60% from its lowest point this year. Here are the key catalysts for Japanese stocks this week.

Nikkei 225 Index to react to US and China deal

The main catalyst for the Nikkei 225 Index is the rising hopes that the US and China will ink a trade deal this week. In separate statements, officials from the two countries confirmed that they were close to a deal. 

Scott Bessent hinted that China agreed to start buying vast amounts of soybeans from the US. He also said that China agreed to extend the rare earth export controls by 12 months as negotiations start. He said:

“So I would expect that the threat of the 100% has gone away, as has the threat of the immediate imposition of the Chinese initiating a worldwide export control regime.”

Bank of Japan interest rate decision 

The other catalyst for the Nikkei 225 Index is the upcoming Bank of Japan (BoJ) interest rate decision. This decision will come a week after a report by the statistics agency said that the country’s inflation rose for the first time since May.

The headline CPI rose to 2.9%, higher than the median estimate of 2.7%. Core inflation also jumped to 2.9% during the month.

Still, Wall Street analysts believe that the BoJ will leave interest rates unchanged, which will benefit Japanese stocks. However, some believe that the bank will hike rates in the December meeting. In a note, UBS analysts said:

“The BOJ should hike this time in principle, but markets factoring in only a narrow chance of a move will make the bank hesitant. The focus is on how much they will signal a chance of moving in December.”

Federal Reserve interest rates decision

The other important catalyst for the Nikkei 225 Index will come out on Wednesday when the Federal Reserve cuts interest rates by 0.25%. Odds of a Fed cut rose after the US released the relatively muted inflation data. 

The report showed that the headline Consumer Price Index rose from 2.9% in August to 3.0% in September. Core inflation, which strips the volatile food and energy prices, fell to 3.0%. In note, analysts at ING said:

“Upside inflation risks are receding while worries about the jobs market are mounting. The Federal Reserve is expected to respond with another 25bp interest rate cut on Wednesday, and could also bring QT to a conclusion.”

Key Japanese earnings

The other key catalyst for the Nikkei 225 Index will be results by some of the biggest constituent companies. Canon will publish its numbers on Monday, while Advantest and Nomura will release their results on Tuesday. 

Meanwhile, Komatsu, Central Japan, Tokyo Gas, and Japan Exchange Group will release their numbers on Wednesday. The other key results from Hitachi, Japan Tobacco, Fujitsu, Takeda, and Panasonic will be published on Thursday.

The Nikkei 225 Index will also react to the upcoming US big tech companies like Microsoft, Apple, and Microsoft. 

The post Top 4 catalysts to impact the Nikkei 225 Index this week appeared first on Invezz

There are signs of a crypto bull run as Bitcoin and top altcoins bounced back. Bitcoin price jumped to $115,000 for the first time in weeks. Zcash jumped by 27% in the last 24 hours to $364, while Pi Network and Dash jumped by 15% and 22%, respectively.

The market capitalization of all cryptocurrencies jumped by over 3.90% to over $3.89 trillion. Most notably, the 24-hour volume soared by over 64% to $138 billion. 

Why the crypto bull run is happening

The ongoing crypto market rally coincided with the performance of the stock market. Asian indices like the Hang Seng and Nikkei 225 resumed their bull run. Similarly, futures tied to the Nasdaq 100, S&P 500, and Dow Jones were all in the green.

The crypto market rally happened after the conclusion of talks between the United States and China. This meeting seems to be successful as the two sides reached some agreements that will be signed by Donald Trump and Xi Jinping at the APEC meeting in South Korea on Thursday.

The deal, if it remains, will remove one of the biggest risks in the market. For example, Donald Trump’s threat of a 130% tariff on Chinese goods earlier this month led to a crypto market crash and liquidations worth over $20 billion. 

The agreement will also help to contain inflation in the United States. While details are scarce, there is a likelihood that the current tariffs will be lowered. 

Federal Reserve interest rate decision next

The crypto bull run is also happening as investors wait for Wednesday’s interest rate decision by the Federal Reserve.

Economists believe that the Federal Reserve will cut interest rates by 0.25%, bringing them between 3.75% and 4%. It will be the second consecutive meeting of rate cuts after the bank slashed in the last meeting in September.

The main reason for the cut is that the labor market has weakened in the past few months, with a report by ADP showing that the economy lost 36,000 jobs in September this year.

At the same time, there are hopes that inflation has largely been contained. A report by the Bureau of Labor Statistics (BLS) showed that the headline Consumer Price Index (CPI) rose to 3.0% in September, up slightly from the previous 2.9%. Core inflation, which excludes the volatile food and energy products, dropped slightly to 3.0%.

The cryptocurrency market does well when the Fed is either cutting interest rates or when it has embraced a dovish tone.

Tom Lee crypto prediction 

The crypto bull run is also happening as some investors remain optimistic about the industry. In an interview with CNBC, Tom Lee, the founder of FundStrat and the chairman of BitMine, predicted that there will be an end-of-the-year rally in the crypto market.

He believes that the fundamentals of key coins, especially Bitcoin and Ethereum, are relatively solid. The supply of the two on exchanges has continued falling in the past few months, a sign that investors are not selling their coins.

At the same time, demand for these coins continued rising among institutional investors. For example, spot Bitcoin and Ethereum ETFs have attracted over $64 billion and $14 billion in assets, respectively, a trend that may continue in the coming weeks.

Still, there is a risk that the ongoing crypto bull run is a dead-cat bounce, which is a situation where assets in a freefall have a temporary rebound and then resume the downtrend. For example, there is a likelihood the crypto market will resume its retreat as investors sell the Fed and trade news.

The post Crypto bull run restarts as Pi Network, Zcash, Dash surges appeared first on Invezz

The Euro Stoxx 50 Index has been in a strong bull run this year and is hovering near its all-time high. It was trading at €5,675, a few points below the record high of €5,696, and 25% above the lowest level this year. 

Euro Stoxx 50 Index to react to ECB decision

The Euro Stoxx 50 Index continued its strong rally this month as demand for European stocks continued rising. This rally could continue this week as the European Central Bank (ECB) delivers its interest rate decision. 

This decision will come a few hours after Eurostat publishes the latest European GDP data. Economists expect the report to show that the economy to maintain the minimal 0.1% expansion it managed in the three months through June this year.

Most importantly, the ECB will likely leave interest rates unchanged now that it has achieved the 2% inflation target. Also, forecasts show that the bloc’s economy will likely rebound in the next quarter now that private sector activity jumped to the highest level since May last year. 

The Euro Stoxx 50 and other European indices do well when the ECB is either cutting interest rates or when it embraces a dovish tone. 

Earnings season continues

The Stoxx 50 and Stoxx 600 indices have jumped recently as some key companies publishes their financial results. ASML, one of the biggest technology groups in Europe, published strong numbers as the AI demand remained at an elevated level. 

Luxury goods companies like LVMH and Kering also released strong numbers. LVMH, in particular, resumed to growth in the third quarter after shedding assets in the previous two quarters. Kering also reported strong earnings as the Gucci revival gained steam.

Other Stoxx companies that published strong results this month were SAP, UniCredit, and Adidas. L’Oreal published relatively weak results and announced the purchase of Kering’s beauty business.

Many Stoxx 50 Index companies will publish their results this week. The most notable ones are Airbus, Deutsche Bank, Santander, TotalEnergies, AB InBev, Deutsche Boerse, Mercedes-Benz Group, Iberdrola, and Deutsche Telekom.

The Euro Stoxx 50 Index will also react to the upcoming big-tech earnings in the United States. Some of the top firms to watch will be Microsoft, Apple, and Amazon. 

US and China trade deal

The other key catalyst for the Euro Stoxx 50 Index is the new US-China trade deal. After two days of intense negotiations, the two countries came up with the outline for a deal. 

While details remain muted, the deal means that China will resume buying American soybeans and that it will not impose any restrictions on rare earth materials to the United States for at least for one year. 

The deal removes one of the main headwinds facing the market this year and is a good thing for European stocks.

Additionally, the index will react to the upcoming Federal Reserve interest rate decision on Wednesday. Unlike the ECB, economists expect the Fed to deliver its second interest rate cut of the year. 

Stoxx 50 Index analysis 

The daily timeframe chart shows that the Stoxx 50 Index has been in a strong uptrend in the past few months, moving from a low of €4,542 in April to a record high of €5,696.

It has moved above the important resistance level at €5,568, its highest level on March 3. 

The index remains above the 50-day and 100-day Exponential Moving Averages (EMA), while the Relative Strength Index and the MACD indicators have continued to rise.

Therefore, the most likely scenario is where the index continues rising, with the next key target being at €6,000. A move above that level will point to more gains in the near term.

The post Is the Stoxx 50 Index a buy ahead of top European earnings? appeared first on Invezz

The IAG share price continues its rebound and is within touching distance of its all-time high. It was trading at 410p, its highest point since February 2020. It needs to rise by just 7.5% to hit its record high. 

Why IAG share price is soaring

The IAG stock price has experienced a strong surge, rising from its pandemic low of 84p to the current 410p, representing a 360% increase that has propelled its market capitalization to over £18.8 billion. 

IAG, the parent company of companies like British Airways, Iberia, LEVEL, and Aer Lingus, has become one of the best-performing companies in the FTSE 100 Index in the past few years. 

This growth happened as the company continued its turnaround efforts, which have paid off in the past few years. A good example of this is what happened in the first half of the year when revenue jumped by 8% to €15.9 billion. 

Its revenue and other profitability metrics were in line with what analysts were expecting. For example, the company’s operating profit jumped by 43% to €1.87 billion in the first half. It jumped by 35% to €1.68 billion in the second quarter.

IAG’s business has benefited from the ongoing transatlantic demand, which has held well despite the recent trade issues between the United States and Europe. It also has a leading market share in the Latin America and Caribbean and European divisions.

On top of this, the company has boosted its business and is now making substantial sums of money from the premium segment and its loyalty programs.

And the company is not done yet as it continue to implement policies that will boost it performance. For example, the company aims to achieve a medium-term operating margin between 12% and 15%. 

British Airways, which competes with Delta Air Lines and United, aims to grow its operating profit to 15% by investing more in its premium and loyalty program.

In addition, the company is investing in its Spanish operations, with Iberia aiming to achieve an operating profit of €1.4 billion. 

IAG share price has also done well as the management has continued to delever its balance sheet. Its net debt dropped to €5.4 billion in the from €7.5 billion in the same period last year. 

The company is returning funds to investors. It plans to return about €1.5 billion to shareholders through dividends and share buybacks. 

The next key catalyst for the IAG share price will be its earnings, which will come out on Friday next week. The consensus among 22 analysts is that it operating profit will be €2.09 billion, a big increase from what it made last year.

IAG stock price technical analysis 

The monthly chart shows that the IAG stock price has bounced back in the past few years. This rebound happened after it formed a double-bottom pattern at 87.45p in 2020 and 2023. This is one of the most common bullish reversal sign.

The stock has remained above all monthly moving averages, a sign that bulls remain in control. At the same time, the Relative Strength Index (RSI) and the MACD indicators have continued moving upwards.

Most importantly, there are signs the bulls are targeting the all-time high of 440p, which may happen soon, potentially after its financial results. A move above that level will point to more gains, potentially to 500p.

The post IAG share price targets an all-time high: Nov. 7 will be key appeared first on Invezz

The Deutsche Bank share price remains in a tight range as investors wait for its third-quarter financial results. DBK, the biggest bank in Germany, was trading at €29, down from the year-to-date high of €32.17. It is up by ~90% from its lowest point this year.

Deutsche Bank earnings ahead

Deutsche Bank will publish its financial results this week. Based on the numbers by top companies like JPMorgan, Barclays, and Unicredit, chances are that its business will record strong financial results. 

The most recent numbers showed that its revenue rose by 6% in the first half of the year to €16.3 billion. This growth means that the company is on track to hit its €32 billion revenue goal.

Deutsche Bank’s management, under Christian Sewing, has also worked to reduce its costs. Its non-interest expenses dropped to €10.6 billion, down from the previous €12 billion. 

All four businesses did well in the year’s first half. The Corporate Bank’s profit before tax rose to €1.4 billion, while the investment bank, private bank, and asset management rose by 18%, 50%, and 52%, respectively. 

The upcoming results will likely show that the company continued doing well in the third quarter. One major aspect is that banks with investment banking business are thriving as the sector bounces back.

Data shows that deals worth over €1 trillion were announced in the last quarter. This benefited advisors like Deutsche Bank. 

At the same time, the volatility in the financial market has boosted its fixed income and currencies (FIC) business. Its FIC revenue jumped by 11% in the last quarter to €2.3 billion partly because of Donald Trump’s tariffs that led to substantial volatility in the market. 

READ MORE: Here’s why the Deutsche Bank share price is surging

The company is also benefiting from an improvement in provisions for bad credit. These provisions stood at €423 million in the second quarter, down by 10% from the same period last year. The same happened in the first half of the year.

Deutsche Bank’s management has also worked to improve its balance sheet, allowing it to return more money to shareholders. Its Common Equity Tier 1 Capital Ratio rose to 14.2% from the previous €13.8%.

Deutsche Bank share price analysis is sending mixed signals

The daily timeframe chart shows that the DBK stock price has been under pressure in the past few months. It formed a double-top pattern at €32, its highest point in August and September this year. 

The stock is now hovering at the neckline of this pattern at €29.20, its lowest point in September. It has moved below the 50-day Exponential Moving Average (EMA), confirming the bearish outlook.

On the positive side, Deutsche Bank’s stock price has formed a bearish reversal pattern. This pattern happens when an asset forms a down-gap and then consolidates for a while. It often leads to a rebound, which may happen after its earnings this week. 

On the flip side, a move below the lower side of the island at €28.20 will confirm a bearish breakout.

The post Deutsche Bank share price sends mixed signals ahead of Q3 earnings appeared first on Invezz

PayPal stock remains in a tight range this month as traders waited for the upcoming earnings, which will provide more color on its long-running turnaround. PYPL was trading at $69.7, down by ~25% from its highest point this year.

PayPal faces long-term stablecoin headwinds

PayPal is one of the biggest payment processors globally. It operates a consumer and business-facing business that simplifies how people move money and pay globally. It has accumulated over 400 million customers globally. 

The company has faced major challenges in the past few years as its growth has decelerated. This explains why its stock has moved from a record high of $300 to the current $69.

PayPal is facing another major long-term challenge as the stablecoin business booms. These coins are solving one of the biggest challenges that PayPal’s retail and individual customers complain about: fees.

PayPal normally charge customers between 2% and 3% on most transactions. This means that a $10,000 transaction costs about $100. In contrast, a similar stablecoin transaction would cost almost nothing depending on the network. 

PayPal has recognized this challenge and has already launched its stablecoin: PYUSD. Recent data shows that the PYUSD has become one of the fastest-growing stablecoins in the industry. 

Its assets have jumped from below $1 billion to almost $3 billion today. This means that its stablecoin business will likely bring in over $100 million in the next 12 months.

PayPal has also launched a stablecoin payment solution that allows businesses accept these tokens. It is now offering a promotional fee of 0.99% for merchants, which is lower than its current transaction fees. 

PayPal earnings ahead

Looking ahead, the next key catalyst for the PayPal stock price is its earnings, which will come out on Tuesday. These numbers will provide more color on its stablecoin initiatives and its revenue and profitability growth. 

The 32 analysts tracked by Yahoo Finance have an average revenue estimate of $8.23 billion. The most optimistic analyst has a target of $8.47 billion. This revenue will be a 4.9% annual growth rate.

Analysts also expect that PayPal’s earnings will remain stagnate at $1.2. The annual EPS is expected to be $5.24, up from $4.65 in 2025, while the revenue will grow by 4.14% to $33.1 billion.

While PayPal is no longer a growth stock, it has two main benefits. One, it is actively reducing its outstanding shares from 1.17 billion in 2021 to 960 million today. It will likely use its strong cash generation to buy more shares over time.

The other key benefit is that its stock is a bargain. Data shows that its forward P/E multiple is 11.9, down from the S&P 500 average of 21.

PayPal stock price technical analysis

PYPL stock price chart | Source: TradingView

The daily timeframe chart shows that the PYPL stock price has remained in a tight range in the past few months. It is oscillating at the 50-day and 100-day Exponential Moving Averages (EMA).

The stock is hovering at the 38.2% Fibonacci Retracement level. It has remained inside the descending channel, which is part of a bullish flag pattern. 

Therefore, the stock will likely have a strong bullish breakout, potentially to the upper side of the descending channel at $75. 

The post PayPal stock price forecast ahead of earnings: buy or sell? appeared first on Invezz

Kering share price has gone parabolic in the past few months, making it one of the best-performing companies in the CAC 40 Index. It has jumped from a low of €147.20 in August to a high of €353 last week, which is a 140% jump. This article explores why the KER stock price has jumped and what to expect.

Kering share price jumped as its turnaround continues

Kering, the parent company of Gucci, Saint Laurent, Balenciaga, and Bottega Veneta, has done well this year. It has moved from being the worst-performer in the CAC 40 Index to one of the best this year. 

One of the approaches has been to divest its beauty division to L’Oreal, in a deal valued at over €4 billion. This deal included the House of Creed, a perfume maker that it bought in 2023. Also, the two companies will continue to collaborate on fragrance and beauty products for its brands like Gucci and Bottega Veneta.

In addition to this, the company sold over €1.3 billion in real estate assets. These asset sales will help to reduce its huge €9.5 billion debt.

The other thing that has boosted the Kering share price is its management change. It brought in Luca de Meo as CEO, as it seeks to change its business. De Meo was previously the CEO of Renault Group.

Most importantly, the company, under de MEO, is hoping to stabilize its key brands like Gucci and Bottega Veneta.

Kering earnings were better than expected

The Kering share price has done well after the company published earnings that were better than expected. The most recent results showed that its third-quarter revenue dropped to €3.41 billion, down from the previous €3.786 billion. 

This decline was spread across most of its businesses. Gucci sales plunged to €1.34 billion from the previous €1.64 billion. Yves Saint Laurent’s sales dropped by 4% to €620 million. On the other hand, the company’s Bottega Veneta, Other Houses, and Kering Eyewear had some modest gains during the quarter, which helped to offset the decline in Gucci’s business.

Kering stock price also rose as its Chinese business continued to stabilize. Its Asia Pacific revenue dropped by just 2% in the third quarter, much better than what analysts were expecting. 

Analysts are also banking on Demna Gvasalia, the new creative director who has been charged with reinvigorating the brand. However, his collection will come in Spring, calling for patience among investors. 

To be clear, the strong Kering stock price performance is not unique as other companies have done well. LVMH stock price has jumped by over 42% from its lowest point this year.

Similarly, Christian Dior stock price has jumped to €570, up by 37% from its lowest level this year. Burberry share price has jumped by over 116% from the year-to-date low.

Kering stock price analysis 

The weekly chart shows that the Kering stock price has done well in the past few months. It jumped from a low of €146 in April to a high of €335 this month. 

Kering stock price has moved above the 50-week and 100-week Exponential Moving Averages (EMA), which is a bullish sign. It has moved above the 23.6% fibonacci retracement. 

The Relative Strength Index and the MACD indicators have continued rising. Therefore, the stock will likely continue rising as bulls target the key resistance at €400. A drop below the support at €275 will invalidate the bullish outlook.

The post Here’s why the Kering share price is firing on all cylinders appeared first on Invezz

The crypto market is going up today, October 25, as investors cheer the encouraging US inflation data, JPMorgan news, the upcoming Federal Reserve interest rate decision, and the Trump-Xi meeting on Thursday next week.

US inflation data is boosting the crypto market today

The crypto market is going up modestly today, with Bitcoin price rising to $111,650. Some of the top gainers were tokens like Virtuals Protocol, Humanity Protocol, Jupiter, Aerodrome Finance, Zcash, Kaspa, and XRP.

All these tokens have jumped by over 5% in the last 24 hours and by double digits in the last 24 hours. 

The main catalyst for the ongoing crypto market rally is that the US Bureau of Labor Statistics (BLS) published encouraging inflation data on Friday.

This report showed that the headline Consumer Price Index (CPI) jumped to 3.0% in September from 2.9% in the previous month. This increase was lower than the median estimate of 3.1%.

Most notably, core inflation, which excludes the volatile food and energy prices, dropped to 3.0% from the previous 3.1%. 

These numbers boosted the stock and crypto markets by raising the odds that the Federal Reserve will cut interest rates in the upcoming meeting on Wednesday. Risky assets thrive when the Fed and other central banks are cutting rates.

JPMorgan embrace of crypto

The crypto market is going up after JPMorgan, the biggest American bank moved to embrace the industry. In an announcement, it said that it will start accepting Bitcoin and Ethereum as collateral.

This is notable since Jamie Dimon, the CEO, has a long history of bashing Bitcoin. In 2021, he said that it was worthless and that it had no intrinsic value. 

He repeated that claim last year, noting that it was a pet rock that did nothing. He said:

“My personal advice would be don’t get involved … but it’s a free country. This is the last time I’m ever going to state my opinion on Bitcoin.”

Therefore, the bank’s change of tune on the industry is notable because of its might.

Other institutions have started to embrace Bitcoin this year. The most notable one is Vanguard, which is exploring ways to move to the industry. Schwab and Morgan Stanley have also embraced the industry.

Donald Trump and Xi Jinping meeting

The crypo market is going up as investors focus on the upcoming meeting between Donald Trump and Xi Jinping at the APEC meeting in South Korea. This is an important meeting because of its role in the global economy.

The meeting seeks to reduce one of the top risks in the market as the two countries have announced major trade-related news recently. Trump has threatened to cut off China from critical US software and boost tariffs.

China, on the other hand, has hinted that it will start limiting rare earth materials. It has asked companies not to use Nvidia chips and placed new tariffs on US ships docking on the country.

Therefore, the meeting will help to reduce the tensions, which will boost the stock and crypto market.

Potential dead-cat bounce

The other potential reason why the crypto market is going up is that this may be a dead-cat bounce. A DCB is a situation where a falling asset bounces back temporarily and then resumes the downward trend. 

This situation is commonly known as a bull trap because it normally effects inexperienced traders.

The post Why is the crypto market up today? appeared first on Invezz

The crypto market did relatively well during the weekend as the market capitalization jumped to over $3.77 trillion. Bitcoin remained above $111,000, while other top coins like Ethereum and Solana were up significantly from its lowest level this month. This article provides the forecasts for some notable coins like Jupiter (JUP), Hyperliquid (HYPER), and XRP.

Jupiter price prediction

Jupiter is a top player in the Solana ecosystem, where it runs one of the biggest perpetual exchanges. It has launched numerous solutions in the past few months, including a lending platform with over $800 million in assets and a prediction platform in collaboration with Kalshi. 

Jupiter price has rebounded in the past few weeks, moving from a low of $0.1070 on October 11 to $0.4330, its highest point on October 9. It has now crossed the important resistance level at $0.4045, its highest point on October 14. 

The Relative Strength Index (RSI) and the MACD indicators have all pointed upwards, a sign that the trend is strengthening. It has moved above the Major S/R pivot point of the Murrey Math Lines tool. 

Therefore, the most likely Jupiter price forecast is bullish, with the initial target being at $0.50, the strong pivot reversal point of the MML tool. This target is about 15% above the current level. A move below the support at $0.4046 will invalidate the bullish outlook.

Hyperliquid price forecast

Hyperliquid is a major player in the perpetual trading industry, where it handles volume worth billions of dollars a day. Its volume this month stood at over $252 billion, meaning that it may pass or equal its September volume of over $280 billion. 

HYPE price has pulled back from the year-to-date high of $59.2 in September to the current $43. Most recently, it has bounced back from a low of $31.68 as the crypto market rebounded. This rebound happened as it filed to raise $1 billion public offering to buy HYPE.

The coin is attempting to move above the 50-day and 25-day Exponential Moving Averages (EMA). It is also attempting to rise above the lower side of the ascending channel. 

At the same time, the Relative Strength Index has crossed the neutral point, while the two lines of the MACD indicator have made a bullish crossover. Therefore, the token will likely keep rising as bulls target the key resistance level at $50. 

XRP price prediction

The daily chart shows that the XRP price has rebounded in the past few weeks. It has jumped from a low of $1.7775 on October 11 to the current $2.60. 

The chart shows that the Ripple price has formed an inverse head-and-shoulders pattern. This is one of the most popular bullish reversal pattern. 

The token is about to move above the 50-day and 25-day Exponential Moving Averages. Also, the two lines of the MACD have formed a bullish reversal pattern, while the Relative Strength has jumped.

Therefore, the token will likely continue rising as bulls target the key resistance level at $3.0. 

The post Top crypto price predictions: Jupiter, Hyperliquid, XRP appeared first on Invezz

The Nasdaq 100 Index continued its strong rally last week and hit its all-time high of $25,358. It has jumped by over 53% from its lowest level this year, making it one of the best-performing indices in the United States.

Its performance also translated to the strong gains to its top ETFs like the Invesco QQQ (QQQ), JPMorgan Nasdaq Equity Premium Income ETF (JEPQ), and Global X NASDAQ 100 Covered Call ETF (QYLD). This article looks at some of the top catalysts for these assets this week.

Federal Reserve interest rate decision

One of the top catalysts for the Nasdaq 100 Index and its ETFs, like QQQ, QYLD, and JEPQ is the upcoming Federal Reserve interest rate decision scheduled for Wednesday this week.

Economists and traders on platforms like Polymarket and Kalshi are betting that the Fed will cut interest rates by 0.25% in this meeting. 

Odds of these cuts jumped after the US released the September inflation report on Friday last week. This report showed that the headline Consumer Price Index (CPI) rose to 3.0% in September, lower than the expected 3.1%. Core inflation, which excludes the volatile food and energy prices, dropped to 3.0% from the previous 3.1%.

These numbers, together with the ADP jobs report, support the case for interest rate cuts in this meeting, which will move from 4.25% to between 3.75% and 4%. Also, the bank will likely tweak its ongoing quantitative tightening policies.

While the interest rate decision will be important, the main catalyst for the Nasdaq 100 Index and other assets is the guidance for the final meeting of the year. ING analysts believe that the bank will cut interest rates again, saying:

“At the September FOMC meeting, the Fed updated its own forecasts with the median expectation of officials suggesting that these two cuts plus one more in 2026 would be enough to support growth while containing inflation. The market is skeptical, believing that a rapidly cooling jobs market will require more aggressive action.”

Big Tech earnings to impact the Nasdaq 100 Index 

The other main catalyst for the Nasdaq 100 Index and its ETFs like QQQ, JEPQ, and QYLD is the upcoming big tech earnings, which will provide more color on growth and the artificial intelligence sector. This will be important as some analysts believe that we are in an AI bubble that may pop in the next few months.

One reason for the AI bubble is the circular spending by companies like OpenAI, Nvidia, and Microsoft. For example, Nvidia has announced a $100 billion investment in OpenAI, with most of the cash going towards purchasing of its GPUs. Similarly, Nvidia is a big investor in CoreWeave, which is also spending a lot of on Nvidia GPUs.

The top big tech companies to watch this week will be Meta Platforms, Microsoft, Apple, and Google.

US and China trade talks

The other major catalyst for the Nasdaq 100 Index and other ETFs like QQQ, JEPQ, and QYLD is the upcoming trade talks between the US and China.

These talks, which will happen at the APEC Summit in South Korea, will be the first time that Donald Trump and Xi Jinping talk during his presidency.

A deal between the two countries will be a positive one for the stock market as it will remove one of the biggest risks in the market today. Also, it will help to contain inflation as Donald Trump has pledged to hike tariffs if China blocks rare earth materials exports to the country.

The post Top catalysts for the Nasdaq 100 Index and ETFs like JEPQ, QQQ, and QYLD appeared first on Invezz