Tuesday's Market Minute: This Week's Big Market Test

U.S. equity futures gained overnight after ending Monday’s trading session higher. Since late March, stocks have been making a comeback from lows earlier in the year. Inversely, the so-called Fear Index, or VIX, has settled off of highs of 85 to below 40, indicating a less panicked market as both the federal and state government, along with international powers, continue to combat COVID-19.

At a press briefing from the Rose Garden in Washington D.C. on Monday evening, President Trump announced plans to make testing for the virus more widely available in the U.S. With more readily available and expansive testing, hopes are for the economy to re-open and begin to stabilize. Already, up to 20 states are planning to open back up on a limited basis. The generally bullish momentum of U.S. stocks over the past few weeks mirrors that optimism, but this week will be an important test for how things move forward.

The two-day-long FOMC meeting to determine interest rates policy begins today. While interest rates are expected to remain unchanged, the recent dive in crude oil futures will likely add to the conversation. In addition, we’ll see how some of the companies affected by the virus respond. Tomorrow after the market closes, Advanced Micro Devices, Inc. AMD, Alphabet Inc. GOOGL GOOG, Ford Motor Company F, and Starbucks Corporation SBUX all report quarterly earnings. Be sure to watch the TD Ameritrade Network for all of the latest earnings information.