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Data Center Primer (From a Markets Point of View)

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What’s in Today’s Report:

  • Data Center Primer (From a Markets Point of View)

Futures are moderately higher following a trio of positive tech headlines overnight.

CoreWeave (CRWV) is rallying 15% pre-market on strong earnings and (more importantly) positive comments on credit availability and customer demand.

Elsewhere in tech, reports surfaced that Anthropic may increase its IPO size due to robust demand, while OpenAI CEO Altman said revenue rose 50% to $10 billion.

Today is Veterans Day so banks and the bond market are closed and there are no notable economic reports or Fed speak, so we should expect a quiet trading day unless we get a surprise geopolitical headline (meaning Iran, Russia or, for now, Nvidia).

November Market Multiple Table: Solid Upside (If Tech Stabilizes)

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What’s in Today’s Report:

  • November Market Multiple Table: Solid Upside (If Tech Stabilizes)
  • Market Valuation Update: Well Within Fair Value Range

Futures are flat as some hawkish Fed rhetoric is offsetting a continued drop in oil prices ahead of today’s CPI report.

Fed Governor Waller (who isn’t leadership but is important) warned a 50 bps hike in December is on the table if inflation stats don’t improve and that’s weighing on futures slightly.

Geopolitically, President Trump stated that the Iran war will end “fairly soon” and oil is falling modestly as a result.

Today focus will be on inflation and AI.

First, on inflation, CPI is the key report today and expectations are as follows:  CPI (E: 0.3% m/ 3.9% y/y). Core CPI (E: 0.2% m/m, 2.8% y/y). Markets need to see in-line numbers (and ideally numbers below expectations) otherwise concerns about a 50 bps December rate hike will start to rise (and pressure stocks).

On earnings, the key report is Core Weave CRWV ($-1.45) and investors will want to see evidence of strong credit availability and backlog turning into actual revenue! Other reports today include: SE ($0.79), ONON ($0.42), QBTS ($-0.14), RGTI ($-0.08).

 

What Can Stabilize Tech? Three Events to Watch

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What’s in Today’s Report:

  • What Can Stabilize Tech? Three Events to Watch
  • Weekly Market Preview: AI Still in Focus (CRWV Earnings and Anthropic IPO Progress)
  • Weekly Economic Cheat Sheet: Inflation in Focus (CPI Tomorrow the Key Report)

Futures are higher as oil prices dropped on comments from President Trump that further reduced expectations for a resumption of attacks on Iran.

Oil prices are down 3% on Trump comments to CNN that he’s “very unlikely” to resume large scale attacks on Iran.

The AI/tech sector got more dramatic over the weekend as NVDA CEO Jensen Huang admitted to having an affair with an apparent Chinese spy. NVDA is down 5% pre-market although the rest of tech is holding up, so far.

Today all eyes will remain on the tech sector/AI names for signs of continued stabilization. Away from tech, economically this week is focused on inflation and that starts today with the New York Fed 1-Year Inflation Expectations (E: 3.9%) and the lower they are, the better.

Turning to the Fed, there are three speakers today: Goolsbee (10:00 a.m. ET), Bowman & Barkin (12:15 p.m. ET) but they shouldn’t move markets.

 

Why Did Stocks Drop?

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What’s in Today’s Report:

  • Why Did Stocks Drop?

Futures are mixed as AI-related stocks attempt to rebound following Thursday’s market selloff.

Economically, EU Retail Sales missed estimates (-0.7% vs. E: -0.1%), while German Industrial Production beat estimates (0.7% vs. E: 0.0%).

Today focus will be on the October Employment Situation Report (E: 62K job adds, 4.2% unemployment rate, 2.9% wage growth), with investors looking for signs of labor market stabilization and easing wage pressures. We also get Consumer Sentiment (E: 47.5) and Consumer Credit (E: $11.5B).

Finally, two Fed members are speaking today: Musalem (9:10 a.m. ET) and Bowman (12:15 p.m. ET). Earnings include BRK.B ($5.91), ENB ($0.36), MRNA ($-1.10), HUM ($-1.03), VST ($2.89), ECHO ($0.02).

 

How to Get Pre-IPO to Anthropic, Open AI & Others

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What’s in Today’s Report:

  • How to Get Pre-IPO to Anthropic, OpenAI & Others

Futures are slightly higher following a mixed night of earnings as investors look ahead to today’s Fed decision and hyperscaler earnings.

Tech earnings were mixed as memory company SK hynix (SKHY up 8% pre-open) beat while Seagate (STX down 1% pre-open) slightly underwhelmed. But, none of the results were good or bad enough to dramatically move futures.

There are four potentially market moving events today starting with the FOMC Decision (E: No change to rates) and Fed Chair Press Conference (2:30 p.m. ET). Put simply, the Fed needs to not be more hawkish than expected (so not signal an acceleration in rate hikes) otherwise the hawkish surprise will hit markets.

The third and fourth events come after the close via earnings results from hyperscalers GOOGL ($2.94) and MSFT ($4.71).  Markets will want to see strong capex (to fuel the AI data center boom) but also evidence that all this compute investment is producing its own revenue.  Those are the keys from the reports for the market.

Beyond those four events, there are additional earnings reports today and some results we’re watching include:  GEV ($4.03), NOW ($0.56), TMUS ($2.86), UBS ($0.91).

 

The ‘Heart’ of Earnings Season Starts Today

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SpaceX Set the Stage. Now the AI Trade Rests on Meta and Tesla.

“In many ways, the ‘heart’ of earnings season starts today, even though earnings season is almost two weeks old. I say that, because the most important stocks in the market will release results over the next two weeks,” wrote Tom Essaye at the Sevens Report.

Tech earnings face two questions, Essaye said. “Will cap-ex stay strong and does AI produce more direct revenue?”

Also, click here to view the full article published in Barron’s on October 21st, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

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New ETFs for Your Watchlist

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What’s in Today’s Report:

  • New ETFs for Your Watchlist

Futures are pointing higher as investors take comfort in Fed Chair Warsh’s flexible stance on rates.

Warsh avoided signaling whether the Fed will hold or raise rates later this year, and markets viewed his comments as less hawkish than feared following two days of hotter-than-expected inflation data.

Economically, Eurozone HICP met expectations at 3.8% y/y, while Core HICP also met estimates at 2.5% y/y.

Today, focus will be on Import & Export Prices (E: 0.6% m/m, 0.9% m/m) and Industrial Production (E: 0.4%). Markets will be looking for signs that price pressures are not broadening further.

Finally, there are no Fed speakers scheduled today, while earnings include TRV ($7.01), TFC ($1.17), MTB ($4.98), CFG ($1.38), and RF ($0.67.

 

Understanding the Biggest AI Risk (for This Market)

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What’s in Today’s Report:

  • Understanding the Biggest AI Risk (for This Market)

Futures are modestly higher on strong tech earnings and despite further escalation between Saudi Arabia and the Houthis.

Semiconductor company ASML posted much better than expected quarterly results and order backlog and that’s helping the entire AI infrastructure sector to rally this morning.

The Houthis attacked Saudi Aramco headquarters and threatened to target energy infrastructure, sending oil 1% higher.

Today focus will be on CPI (E: 0.6% m/m, 3.6% y/y) and, more importantly, Core CPI (E: 0.2% m/m, 2.5% y/y).  Put simply, we need to see in-line or better than expected numbers to further pressure Treasury yields and if we get that, stocks should rally.  Conversely, if inflation metrics run hot, look for October rate hike odds (and yields) to rise again, likely pressuring stocks.  Away from CPI we also have two Fed speakers, Barkin (1:30 p.m. ET) and Bowman (10:55 p.m. ET), but they shouldn’t move markets.

On earnings, they continue to roll on with a focus on the banks and notable reports today include BAC ($1.11), MS ($2.83) and BLK ($14.01).  Additionally, Anthropic will release some revenue information to investors this afternoon and that will likely become public. If that revenue information is better than expected it could be a late day boost for tech/markets (and if it’s weak, a late day negative).

 

Understanding Why Rates Are Rising – France and AI

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What’s in Today’s Report:

  • Understanding Why Rates Are Rising – France and AI

Futures are sharply lower as rising oil prices and Treasury yields are pressuring stocks.

Oil prices are surging as escalating attacks on tankers near the Strait of Hormuz and in the Middle East raise concerns about sustained supply disruptions.

Economically, there were no noteworthy economic reports overnight.

Today focus will be on Jobless Claims (E: 200K), followed by 4- & 8-Week Bill auctions at 11:30 a.m. ET and the 30-Yr Bond auction at 1:00 p.m. ET. Stable claims and solid auction demand would be supportive for stocks.

Finally, there are two Fed speakers today Kashkari (10:40 a.m. ET) and Musalem (1:40 p.m. ET), while earnings today include PEP ($2.29), NG ($-0.08), and HELE ($0.32).

 

It Can Pay to Think Small(est)

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What’s in Today’s Report:

  • It Can Pay to Think Small(est)

U.S. futures are higher as Treasury yields pull back and a sharp drop in oil prices provides relief for investors.

Oil prices are falling after reports that U.S. and Iranian negotiators discussed a phased approach to ending the war and reopening the Strait of Hormuz.

Economically, the BoJ Core CPI rose 1.8% y/y vs. (E) 1.5%, while German GfK Consumer Climate fell to -30.6 vs. (E) -27.1.

Today, focus will be on Jobless Claims (E: 204K) and New Home Sales (E: 615K), while markets will continue to watch Treasury yields and oil prices for signs of easing inflation pressure.

Finally, two Fed speakers are speaking today: Schmid (9:20 a.m. ET) and Hammack (2:00 p.m. ET).