Fed Decision and Megacap Earnings Headline a High-Stakes Week
Stock futures rose Monday ahead of a week that includes the Federal Reserve's October rate decision Wednesday and quarterly earnings from Microsoft, Alphabet and Amazon.
The Morning Brief Desk · October 26, 2026 · Based on reporting by Yahoo Markets
Futures tied to the Dow, S&P 500 and Nasdaq moved higher Monday, recovering some ground after last week's selloff as investors positioned for one of the most consequential stretches of the quarter. Yahoo Finance described the coming days as the busiest week of the quarter, with the Federal Reserve's October policy decision scheduled for Wednesday and a heavy slate of corporate earnings on deck.
Microsoft, Google parent Alphabet and Amazon are all set to report quarterly results during the week. Those reports will arrive within days of the Fed's announcement, packing the quarter's largest market catalysts into a single stretch.
On the policy side, the central bank raised its benchmark interest rate last month in its effort to bring down inflation. USA Today reported that officials may hold off on another increase this week, even though inflation remains elevated. Either outcome carries direct consequences for borrowers and for financial markets, which have been sensitive to the Fed's path on rates. Monday's gains in futures suggested investors were willing to step back in after last week's decline, though the direction of trading through the week will likely hinge on both the rate decision and how the megacap results compare with expectations.
The context
The setup for this week follows two running storylines. First, the Fed has been raising rates to combat inflation, most recently lifting its benchmark rate last month. With inflation still elevated, the question facing officials at the October meeting is whether to keep tightening or pause, a judgment USA Today reported could go toward holding steady despite price pressures.
Second, the week lands at the peak of third-quarter earnings season. Results from Microsoft, Alphabet and Amazon — among the largest companies in the S&P 500 — tend to carry outsized weight for the broader indexes. Markets enter the week on softer footing after last week's selloff, which Monday's rise in futures partially offset. The compression of the rate decision and the megacap reports into the same few days means investors will be processing the quarter's biggest policy and corporate signals almost simultaneously.
Why it matters
The Fed's rate call reaches beyond trading desks: borrowing costs for consumers and businesses move with the benchmark rate, so a pause or another increase has direct effects on loans, credit and mortgages. At the same time, earnings from Microsoft, Alphabet and Amazon will shape sentiment across the stock market given their size within the major indexes. With inflation still high and markets coming off a down week, the combination of policy and corporate results in one window gives this week unusual power to set the market's near-term direction.
What’s next
The Fed announces its October policy decision Wednesday, the week's central scheduled event. Microsoft, Alphabet and Amazon report earnings during the same stretch, though the material does not specify the exact dates. Key open questions: whether the Fed pauses or raises rates again, how officials characterize the inflation outlook, and whether the megacap results extend or reverse Monday's rebound from last week's selloff.
Sources
Yahoo Markets — Stock market today: Dow, S&P 500, Nasdaq futures rise ahead of busy week of earnings, Fed rate decision
Futures rose Monday as investors braced for a full earnings docket, including Microsoft, Google, and Amazon, plus the Federal Reserve's October policy decision in the busiest week of the quarter.
USA Today — Why the Fed may hold off on another rate hike despite high inflation
After raising its benchmark rate last month to fight inflation, the Fed may pause this week even with inflation still elevated — a decision with direct consequences for borrowers and markets.
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