Economic Outlook - The upcoming week is significant with the Federal Reserve meeting and the summary of economic projections expected on Wednesday, which could influence market expectations [2][5] - Retail sales data is anticipated, with core retail sales expected to increase by 0.4% month-over-month, a relatively high target that could impact rate cut expectations if met or exceeded [3][4] Market Reactions - The market is currently pricing in a 25 basis point rate cut for the Fed meeting, with a strong likelihood of at least 75 basis points worth of cuts by December [4][6] - The summary of economic projections is expected to be a major catalyst for market volatility, potentially affecting interest rate trajectories and inflation expectations [5][9] Sector Performance - Small-cap stocks, particularly the Russell 2000, are showing strong performance, nearing all-time highs, indicating a positive trend in this sector [10] - Financials are highlighted as a sector that could benefit from lower rates and increased loan demand, with recent data showing a significant spike in lending demand [11][12] China Economic Data - China's retail sales growth is reported at 3.4% year-over-year, below expectations of 3.9%, while industrial output grew by 5.2%, also below the anticipated 5.7% [14][15] - The Chinese economy is experiencing challenges, but there are signs of stabilization in equity markets, with notable performance from companies like Alibaba [17][18] Nvidia Antitrust Probe - Nvidia is facing a preliminary antitrust investigation from China regarding its 2020 acquisition of Melanex Technologies, which may impact its operations and revenue from the Chinese market [21][22] - China accounts for approximately 17% of Nvidia's total revenue for 2024, making the outcome of this investigation significant for the company's future [23]