The US stocks fell on Monday after the US announced restrictions on China's semiconductor industry. Some key earnings starting today though.

The US stocks fell yesterday, with some of the indices such as Nasdaq posting its lowest close since July 2020. Investors continue fearing the impact of higher interest rates and pulled out of chipmakers after the US announced restrictions targeted at shuffling China’s semiconductor industry (investing.com). 

The Dow fell 93 points (0.32%), to 29.202, the S&P lost 27 points (0.75%) to 3,612 and Nasdaq dropped 110 points (1.04%) to 10,542 (investing.com).

The Fed vice chair Lael Brainard said that tighter US monetary policy is starting to be felt in the economy, also mentioning that it is now apparently slowing faster than expected. But the full force of the Fed’s interest rates will not be evident for months to come (investing.com).

Additionally, investors are also cautious ahead of the US Q3 earnings season which is due to begin on Friday with results from some of the major banks. Predictions for Q3 earnings have come down over recent weeks amongst analysts. Now expecting YoY earnings for S&P 500 companies to have risen 4.1% in the quarter, compared with an increase of 11.1% expected previously (Nasdaq.com). 

However, some good news, in the UK economy unemployment in August dropped to 3.5%, the lowest since 1974. Although, job vacancies fell by 46,000 and jobless claims rose by 69,000 (investing.com). 

Things to look out for today:

1. French luxury brand Louis Vuitton set to release quarter 3 earnings by COP today. With analysts forecasting 18.73 billion Euros in revenue (investing.com). 

2. Swiss fragrance and flavour maker Givaudan is forecasted 1.81 billion Swiss Franc for their quarterly earnings by COP (investing.com). 

3. Azz Inc, leading provider of hot-dip galvanizing, metal and coil coating solutions is expected 470 million dollars for revenue and a 1.38 EPS (Nasdaq.com).

4. On the evening at 19:35 GMT, governor of BoE Andrew Bailey, is set to speak. Bailey has more influence over the sterling’s value than any other person. Investors will be looking out from comments regarding future monetary policy.