'Fast Money' traders talk what is weighing on the markets this week and how to play it

Market Sentiment and Government Shutdown - The S&P experienced a reversal, gaining approximately 90 points from its low to close, equating to a 1.5% increase, influenced by headlines from Washington regarding the government shutdown [1] - The VIX index dropped by around 15% during the day, indicating a shift in market sentiment [1] - The ongoing government shutdown, now the longest in U.S. history, is starting to show negative impacts on economic indicators, with Michigan consumer confidence numbers hitting the second lowest on record [2] Earnings Reports and Market Performance - Despite the market's recent volatility, 85% of companies that have reported earnings have exceeded expectations, particularly in sectors like industrials, financials, and IT [8] - The perception of a significant selloff may be misleading, as some companies, like Amazon, have shown resilience, recovering from previous lows after strong earnings [7][8] - The overall earnings reports suggest a strong market, countering concerns about the impact of the government shutdown and other economic factors [8] Future Outlook and Investor Sentiment - There is a belief that the government will reopen, with the timing being a matter of when rather than if, especially after the recent elections [4][5] - The market may face short-term challenges, but the sentiment remains that the underlying fundamentals are strong, and the dip in the market is not indicative of a long-term downturn [3][9] - Concerns regarding AI spending and its return on investment persist, indicating that while some froth has been removed from the market, significant issues remain unresolved [9][10]