The Week Ahead: JPMorgan, Goldman Sachs Earnings and CPI Test Stock Market Strength

Author: James Hyerczyk

Updated: October 11, 2026

Key Points

• JPMorgan and Goldman Sachs kick off bank earnings on Tuesday, followed by Bank of America and Morgan Stanley.
• The Consumer Price Index (CPI) is projected to rise to 3.6% year-over-year and 0.6% month-over-month, influencing Federal Reserve rate hike expectations.
• The S&P 500 and Nasdaq indices are near record highs, indicating limited room for unexpected inflation surprises.

Market Overview

U.S. stock markets closed higher, with the Dow Jones Industrial Average at 51,654.95 (+0.93%), the Nasdaq Composite at 27,366.17 (+0.64%), and the S&P 500 at 7,811.54 (+1.15%). The primary focus remains on inflation and interest rates, especially following the Fed's rate hike in September, the first since 2023. The upcoming CPI report is crucial as it could influence the Fed's decisions in their October meeting.

Upcoming Economic Events

The CPI report on Wednesday is anticipated to be a significant event, with expectations of an increase in headline inflation. A stronger-than-expected report could reignite discussions of a rate hike in October, potentially impacting the stock market and bank earnings.

Third-Quarter Earnings

Bank earnings reports are expected to show a more than 30% increase in the S&P 500 for the third quarter. These reports will provide insights into how rising rates and energy costs are affecting consumers and capital markets.

Technical Outlook

All major indices are currently above their rising 52-week Simple Moving Averages (SMAs), indicating a sustained long-term uptrend. The Dow Jones has support at 49,900.81 and resistance at 52,645.44. The Nasdaq has support at 25,802.96 and resistance at 27,722.75. The S&P 500 shows support at 7,676.15 and resistance at 7,844.52.

Conclusion

The upcoming CPI report is the first real test for the market, with expectations set for a rise in inflation. Positive bank earnings could maintain market momentum, while disappointing results or a hotter CPI could challenge current support levels across major indices.