Five important events of the new trading week

Investors' attention will be focused on the September employment report in the United States and the situation with the possible suspension of the federal government. Fresh ISM data on business activity in the manufacturing and service sectors is also expected, and among the corporate events are quarterly reports from Nike and Carnival Corp.

1. US employment data

The main event will be the publication of the Nonfarm Payrolls report on Friday. The Fed has previously made it clear that cooling the labor market is a priority, so the numbers may influence further rate decisions. Economists forecast employment growth of 51,000 jobs after 22,000 in August, while unemployment remained at 4.3%. Strong indicators may push the regulator to a more cautious pace of easing, while weak ones will support expectations of a rate cut as early as the October 29 meeting.

2. Possible government shutdown

Political uncertainty in Washington remains a risk: if congressmen do not agree on a temporary budget by the end of the fiscal year, the federal government will partially shut down work for the 15th time since 1981. The Republicans, who control both chambers, need the votes of the Democrats to pass the law, but negotiations are still at an impasse. On Monday, the issue will be discussed by Congressional leaders and President Donald Trump.

3. ISM Statistics

The Institute of Supply Management will present the September business activity indices. For the manufacturing sector, 49.1 points are forecast against 48.7 a month earlier, indicating a slowdown, but not growth. The service sector index, on the contrary, will remain at 52.0, demonstrating stable expansion in a key segment of the economy.

4. Nike Quarterly Report

On Tuesday evening, Nike will release its results for the first quarter of the financial year. Investors are waiting for details about the strategy of the new CEO Elliott Hill, who will have to return demand amid falling sales and increasing competition. Revenue is expected to decline by several percent, but the market is watching for signs of renewed interest in the brand and a reduction in stale stocks.

5. Carnival Corp. Report

Carnival Corp. will present its results on Monday. The company is benefiting from a resurgence in demand for cruises: margins have reached their highest in almost 20 years, and the annual profit forecast has been raised. Carnival shares have gained more than 22% since the beginning of the year, and earnings per share in the third quarter are estimated to be $1.32.