This week, several US tech companies will release their latest results, which could shed light on the trajectory of the rapidly growing hype around artificial intelligence. Meanwhile, several Federal Reserve members are scheduled to deliver speeches just days after the central bank cut interest rates and signaled further rate cuts are possible. Policymakers will also be able to review new inflation data, and potential tariff-induced price increases could be a key focus of warehouse store chain Costco's earnings reports.

1. Tech Earnings This Week

Attention turns this week to a new wave of earnings reports in the tech industry. Analysts speculate that these data could provide updated insight into the state of the AI ​​boom.

The rapid rise in popularity of this emerging technology has supported a rally in stock markets overall, making any developments related to it or the companies seeking to leverage it a key focus for investors.

Micron is expected to report earnings on Tuesday after the close. Sentiment for the chipmaker is optimistic, especially after stunning results from companies like Broadcom and Oracle, as well as a number of favorable preliminary reports, according to analysts at Vital Knowledge.

Electronic component maker and Apple supplier Jabil, which is betting heavily on AI-powered data centers to drive strong demand for infrastructure services, will also release quarterly results on Thursday. Consulting giant Accenture is scheduled to report results the same day, although analysts have expressed concerns about the impact of AI on its business.

2. Fed Speeches in Focus

After the Fed cut interest rates by 25 basis points last week, market attention will be focused on comments from central bank officials this week.

Fed Chairman Jerome Powell's scheduled speech on Tuesday is highlighted. Following the Fed's decision, Powell told reporters that the weakening US labor market was the main driver for the rate cut.

However, Powell noted that "there is no path without risk," especially as signs of persistent inflation persist in the forecasts for the world's largest economy.

"We must watch inflation, but at the same time, we cannot ignore [...] maximum employment," Powell said.

However, Fed officials were not unanimous in their support for a rate cut: one member—presumably new Fed Governor Stephen Miran, who served as a senior adviser to President Donald Trump before his confirmation—called for a deeper cut of half a point.

Seven of the 19 meeting participants also forecast no further cuts this year, while others called for further reductions, suggesting that upcoming central bank meetings could be marked by heated debate.

3. PCE Index Ahead

Fed policymakers will have the opportunity to analyze fresh inflation data on Friday.

The so-called "core" personal consumption expenditures price index for August is expected to rise 0.2% month-on-month, down from the previous 0.3%.

Fed officials frequently use this measure to track the pace of price growth in the world's largest economy.

A separate measure of consumer prices rose in August, and the annual pace was the fastest in seven months. Analysts at BNP Paribas noted that these figures suggest that inflation is "unlikely to reach" the Fed's 2% target "anytime soon."

4. Costco's earnings report

Additionally, Costco is scheduled to report its quarterly results on Thursday.

Investors will likely be interested to see how the members-only warehouse retailer is coping with the massive U.S. tariffs. Earlier this year, the company promised that price increases caused by the levy would be a "last resort."

Costco's competitors, including Walmart and Target, have stated that some price increases for customers have already occurred, and further increases are possible. However, executives at electronics retailer Best Buy said the increase was lower than the overall tariff level.

Tariffs threaten to burden consumer spending. A recent consumer sentiment measure from the University of Michigan found that "trade policy remains highly relevant" and influences how households perceive risks to their wallets.

5. Gold Hits New All-Time High

Gold prices hit a new all-time high on Monday, as the prospect of further U.S. interest rate cuts following the Federal Reserve's recent cuts in borrowing costs supported gold's outlook.

Markets remained biased against gold ahead of several key U.S. economic data releases this week, including the Fed's preferred inflation target. Several Fed policymakers are also expected to speak.

Lower rates favor non-yielding assets like gold because they reduce the opportunity cost of investing in the sector. Broader metal prices also rose following the Fed's rate cut.

Spot gold rose 0.9% to $3,715.50 an ounce, while gold futures rose 1.2% to $3,750.20 an ounce by 10:32 a.m. Moscow time.