The big 3 indexes all closed higher again yesterday, led by the Nasdaq with a gain of 0.80%. And they all finished at new record highs for the third day in a row.

Another AI deal yesterday with NVIDIA taking a $1 billion stake in Nokia sent both tickers higher. Nokia soared by more than 20% to a new YTD high. NVDA rose to new all-time highs after gaining 4.98%.

Earnings also lifted stocks. Before the open yesterday we heard from UPS, which posted a positive EPS surprise of 32.8%, and a positive sales surprise of 2.78%. That translated to a quarterly EPS growth rate of -1.14% vs. this time last year, and a sales growth of -3.73%. They were up 8.00% yesterday.

Sherwin-Williams reported before the bell as well and posted a positive EPS surprise of 3.76%, and a positive sales surprise of 2.37%. That translated to a quarterly EPS growth rate of 6.53% vs. this time last year, and a sales growth of 3.25%. They were up 5.47% yesterday.

After the close, Booking Holdings reported a positive EPS surprise of 3.60%, and a positive sales surprise of 3.12%, for a quarterly EPS growth rate of 18.6%, and a sales growth of 12.8%. They were off -2.55% in the regular session before earnings, but were trading higher by more than 5% in after-hours following earnings.

Today we'll get as many as 356 companies on deck to report, including 3 of the Magnificent 7 stocks: Microsoft, Alphabet and Meta reporting after the close.

Then tomorrow, we'll get another 376 companies in queue to report, including 2 more Mag 7 stocks: Apple and Amazon.

Investors will also be watching this afternoon's FOMC Announcement on rates. After last week's better-than-expected CPI inflation report, not to mention the fact that the Fed essentially said they were looking to cut two more times this year following September's rate cut, it's widely expected we'll get another cut this afternoon.

What investors will be listening for, however, is if the Fed is still forecasting another cut in December (to be consistent with previous comments), and any word on if/when they will call it quits on their balance sheet reduction or quantitative tightening (QT). After Fed Chair Jerome Powell's speech the other week, when he indicated that balance sheet runoff could end "in coming months," there's been lots of speculation that the announcement could come as soon as today.

The Announcement comes out at 2:00 PM ET, followed by the Fed Chair Press Conference at 2:30.

In other news, yesterday's Case-Shiller Home Price Index was off -0.6% m/m (unadjusted), while it was up 1.6% y/y.

The FHFA House Price Index was up 0.4% m/m and 2.3% y/y.

The Richmond Fed Manufacturing Index improved to -4 vs. last month's -17.

And Consumer Confidence came in at 94.6 vs. last month's upwardly revised 95.6 (from 94.2), and views for 93.4.

Today we were supposed to get the International Trade in Goods report, but it's likely to be ?delayed' due to the government shutdown. But we are expected to get MBA Mortgage Applications, Retail and Wholesale Inventories, the Pending Homes Sales Index, and the Survey of Business Uncertainty.

Should be another busy day.

Even better if we see more new all-time highs again.

See you tomorrow,