TLDR
- Federal government shutdown postpones critical economic reports including jobless claims, trade deficit data, and wholesale inventories from Labor Department and Census Bureau
- Federal Reserve maintains normal operations and schedule because it receives funding from securities interest rather than congressional appropriations
- Fed Chair Jerome Powell, Treasury Secretary Scott Bessent, and multiple Fed officials scheduled to speak at various events throughout the week
- Corporate earnings reports from major companies like PepsiCo, Delta Air Lines, and Constellation Brands proceed as planned despite shutdown
- Fed meeting minutes from September rate cut decision will be released Wednesday with focus on new board member Stephen Miran’s influence
The ongoing federal government shutdown is disrupting the flow of economic information to investors this week. Multiple data releases from government agencies are delayed indefinitely.
Key reports on hold include the August trade deficit numbers, weekly jobless claims, and wholesale inventory data. These metrics help investors and policymakers assess economic conditions. Without them, market participants have less visibility into current trends.
The Labor Department and Census Bureau cannot release data during the shutdown. The September federal budget report scheduled for Friday may also be delayed. This creates an information gap at a time when investors are closely watching economic indicators.
Federal Reserve Schedule Remains Intact
The Federal Reserve continues operating normally because it does not rely on congressional funding. The central bank generates revenue through interest on its securities holdings. This independent funding structure allows it to maintain its regular schedule.
Fed Chair Jerome Powell delivers a pre-recorded introduction Thursday at the community bank conference. Treasury Secretary Scott Bessent and Fed Vice Chair Michelle Bowman participate in a fireside chat at the same event. Multiple other Fed officials have speaking engagements scheduled.
Wednesday brings the release of minutes from the Federal Open Market Committee’s September meeting. That meeting marked the first interest rate cut of 2025. Market watchers will scrutinize the minutes for insights from Stephen Miran, the newest Fed board member who advocates for larger rate cuts.
Miran speaks on Tuesday. Other Fed officials with scheduled appearances include Raphael Bostic, Neel Kashkari, Michael Barr, Alberto Musalem, Michelle Bowman, and Austan Goolsbee. Their comments may provide clues about future monetary policy direction.
Two economic reports unaffected by the shutdown are the University of Michigan consumer sentiment index on Friday and the Fed’s consumer credit report on Tuesday. These offer some economic visibility during the data blackout.
Major Corporate Earnings Reports Continue
Constellation Brands kicks off earnings season Monday. The beverage company behind Corona and Modelo recently lowered its guidance due to tariff worries and declining alcohol consumption trends.
PepsiCo reports Thursday with analysts watching for weakness in its Frito-Lay division and North American sales. Delta Air Lines also reports Thursday following its reinstated outlook and strong recent results.
Levi Strauss releases earnings Thursday after growing revenue despite tariff headwinds in the previous quarter. Other Thursday earnings include Applied Digital, Tilray Brands, and Helen of Troy.
Amazon’s Prime Big Deal Days run October 7-8 with Walmart hosting a competing sale event. These promotions provide insights into consumer spending behavior. OpenAI holds its DevDay conference Monday with expected announcements about new features.
The cryptocurrency market shows strength with Bitcoin trading above $125,000 and Ethereum surpassing $4,400. ETF inflows, anticipated rate cuts, and institutional interest drive the rallies. Bakkt Holdings stock surged 150% on institutional demand.
