Key facts
- Meta Platforms, Lam Research, and Texas Instruments are set to report earnings this week.
- Investors are closely watching Meta's spending on AI data centers and expected returns.
- S&P 500 earnings are projected to rise over 30% in the third quarter.
- China will release key economic data including GDP, retail sales, and industrial output.
- MSCI is considering removing Indonesia from its emerging market indexes.
- Turkey faces a potential downgrade by MSCI if market reforms fall short.
US earnings season is ramping up, with investors keenly focused on Meta Platforms and other AI-centric companies as technology shares experience a wobble. Meta, scheduled to report on Wednesday, is among several hyperscalers that have driven investment through substantial spending on AI data centers and infrastructure. Concerns are growing about the financing for this AI build-out, prompting investors to seek more clarity on the expected returns from these large expenditures. Semiconductor firms Lam Research and Texas Instruments, along with Elon Musk's Tesla, will also provide insights into the AI boom through their upcoming results. China is set to release a significant amount of economic data, including third-quarter GDP, September retail sales, industrial output, and fixed-asset investment figures. Meanwhile, central banks in Indonesia and Turkey face additional challenges from MSCI's proposed changes to emerging market classifications.