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Good evening: Markets weren’t kind to tech today, but some of the biggest Wall Street players and tech titans are still bullish on artificial intelligence.

Amazon founder Jeff Bezos, who left his company a few years ago to go to space and get married, named himself co-CEO of Project Prometheus. The new startup has already raised more than $6 billion, partly from Bezos himself, and seeks to revolutionize manufacturing with AI. That’s a tiny fraction of the trillions, with a T, tech companies are spending (and borrowing) to build data centers that support AI.

A key player in all this is Nvidia, which lost some ground today but is still worth $4.5 trillion on its own. Here’s what Wall Street is looking for when the chipmaker reports earnings Wednesday. Below, we’ll look at what other upcoming earnings reports can tell us about the other engine of this economy: The American consumer. —  Tony Wagner, newsletter editor
A worker at a Target store
Kamil Krzaczynski/AFP via Getty Images
It’s a big week for big box retailers
Walmart, Target, Home Depot and Lowe’s all report earnings this week. Marketplace’s Henry Epp has your preview.

The last time the Census Bureau gave its monthly report on retail sales in this country was two months ago. Those figures were for August.

We don’t know when we’ll get those figures for September and October, as the Bureau works through the data release backlog caused by the government shutdown.

But in the meantime, we’ll see quarterly financial results from a bunch of big retailers this week, starting with Home Depot tomorrow. Lowe’s, Target and Walmart will follow. 

Big retail companies will tell investors how much money they brought in between August and October. But they’ll also likely talk about how many things they sold. And that’s what Gaurav Chhabra, managing director at AlixPartners, will be paying attention to. 

“When a consumer walks in and buys fewer things at a higher price, that could result in a higher revenue performance by retailers,” he said.

Fine for those big box retailers, but if consumers are buying less stuff overall, that might not be great news for the economy. 

“What it’ll tell us is how consumers may or may not be tightening their wallets in the short and medium term,” Chhabra said.

And a lot of shoppers, especially on the lower end of the income spectrum, are feeling pinched. 

“Food is very expensive, rent is expensive, utilities are expensive, yet those are the priorities,” said Jessica Ramirez, managing director of The Consumer Collective. “So their discretionary spend is quite limited.”

Just in time for the holidays — the most discretionary time of the year. Ramirez’s firm has been surveying consumers who make less than $75,000 a year, and most of them are in bargain hunting mode.

“They’ve already either started shopping for holiday or will be shopping ahead of Thanksgiving,” Ramirez said.
READ MORE


 
News you should know

Let’s do the numbers

  • Nvidia and other AI stocks dragged down the market today. The S&P 500 closed 0.9% lower, the Dow lost 1.2% and the Nasdaq composite fell 0.8%.

  • The National Association of Realtors forecast home sales will jump by 14% in 2026. Who’s buying?

  • New data says international student enrollment dropped 17% at American colleges this fall. Last week we reported some smaller private schools were seeing declines many times that. 

  • The Bureau of Labor Statistics is scheduled to report on import and export prices tomorrow, but the data could be delayed due to the government shutdown. Here’s what experts will be looking for in those numbers.

The Trump administration

  • After a difficult couple weeks, President Donald Trump is reversing himself on two fronts: First, the White House is scrambling to address American’s affordability concerns after previously dismissing them. Also, Trump himself is calling for the release of Justice Department files related to Jeffery Epstein, after working for months to suppress them.

  • The White House’s trade deal with Switzerland came after the country showered President Trump with gifts, including a Rolex clock and a gold bar. The administration said both would go to a future presidential library, sidestepping legal concerns.

  • The President demanded NBC fire late-night host Seth Meyers, who made jokes at his expense. The nation’s top broadcast regulator amplified the demand, less than an hour later. 

  • Trump has repeatedly delayed enforcement of a law that compels Chinese ownership to divest from TikTok, or ban the app in the U.S. The lawmakers who had sounded the alarm over TikTok and sponsored the ban have been largely silent on their law.
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QUOTE OF THE DAY
"The tariff as it stands today is 32.5% on Wisconsin ginseng."
—  Robert Kaldunski, president of the Ginseng Board of Wisconsin

China is the top export market for most U.S. agricultural products, and they had a big American pavilion at the annual China import expo in Shanghai earlier this month. American producers there sounded more upbeat as some — but not all — of China’s retaliatory tariffs have been lifted. Here’s our Shanghai correspondent's report from the expo floor.

An overhead photo of children playing at a daycare center.
Matt Roth for The Washington Post via Getty Images
Final note
Why isn’t child care tax-deductible?

We spent some time this weekend catching up with The Purse newsletter, which had a great recent issue laying out why many working parents’ single biggest expense after housing isn’t tax deductible. Plane tickets, computers and meals out — even that house, in some circumstances — get a government subsidy. So why not childcare?

New Mexico recently expanded its subsidized child care to parents at all income levels. We looked at how it will impact families who previously missed out, and providers adapting to all the new customers.
Is money making things weird between you and your friends?
Our podcast "This is Uncomfortable" is starting an advice column, and we want to hear your questions about money arguments, splitting bills, friendly loans, anything! Don’t worry, we’ll keep your name private when we answer on the show!
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