Earnings next week will determine whether stocks still have further to run

Next week, a significant number of companies are set to report their third-quarter earnings, including big names like Amazon and Tesla. These results will be crucial in determining the direction of the stock market, which is currently trading near all-time highs. With a light macroeconomic calendar and the upcoming U.S. presidential election, earnings will be the main focus for investors. While valuations are stretched, there is hope that companies can beat expectations, as earnings growth estimates are already lower than previous seasons. Overall, Wall Street has been positive, heading for its sixth straight winning week. The market has shown signs of broadening, with small-cap stocks outperforming. Investors will be closely watching the upcoming earnings reports to see if the market can continue its upward trend.