S&P 500, VOO, and SPY Outlook: What Investors Need to Watch This Week

• S&P 500 (VOO, SPY, IVV) pulled back to 7,623 from its 7,845 record amid AI bubble jitters. • Earnings season intensifies this week, with Amazon, Alphabet, and Microsoft reports closely watched. • Fed delivers its October rate decision Wednesday; markets expect rates held at 3.75%-4%. The S&P 500 Index and related ETFs (VOO, SPY, IVV) have pulled back over the past two weeks as AI-related jitters intensify, closing the week at 7,623, down from its year-to-date high of 7,845. Earnings season is a major driver this week. Meta Platforms, Tesla, and SpaceX have already reported, with FactSet pegging average earnings growth so far at 29.5%. The coming week brings results from most S&P 500 companies, including closely watched Magnificent Seven names Amazon, Alphabet, and Microsoft, whose size and AI exposure give them outsized power to move the broader market. The Federal Reserve's October rate decision, due Wednesday, is the other key catalyst. Economists and Polymarket traders largely expect rates to hold at 3.75%-4%, with odds of a hold rising after a weak nonfarm payrolls report showed just 29,000 jobs added, unemployment ticking up to 4.2%, and slowing wage growth. Markets will focus on the dot plot for clues on future meetings. AI jitters remain a key overhang, fueled by surging bond yields at companies like CoreWeave and Oracle. Prominent investors including Michael Burry, Ken Griffin, and Ray Dalio have warned about the sector, and the AI Stock Bubble Index has climbed to an extreme reading of 74. The market will also watch rising crude oil prices and potential US-Iran tensions.