Stocks dropped again, last week, as investors watch the latest news about a potential government shutdown. On Friday, House GOP leaders failed to pass a short-term spending bill, bolstering fears that federal lawmakers wouldn’t reach an agreement on time. Though, over the weekend, legislators were able to come to a temporary agreement that staved off a government shutdown, keeping the government open for 45 more days. As September came to an end, stocks finished, both the month and the quarter, lower. The S&P 500 finished the month down 4.9% and the quarter lower by 3.7%. The Nasdaq Composite was off 5.8% in September and down 4.1% for the quarter - both posting their worst months this year. The Dow notched a 3.5% decline last month and a 2.6% fall for the quarter. Only a few months ago, the stock market was worry-free amid the belief that the Federal Reserve could avoid a recession. Now, with a long list of worries, the stock market has moved lower very fast. Although, stocks may have possibly moved lower too much and too fast.
Economic reports from last week came back mostly negative:
•National Economic Activity - lower than expectation
•Manufacturing (Dallas) - lower than expectation
•Manufacturing (Richmond) - higher than expectation
•Manufacturing (Kansas City) - lower than expectation
•New Home Sales - lower than expectation
•Pending Home Sales - lower than expectation
•Consumer Confidence - lower than expectation
•Consumer Sentiment - higher than expectation
•Jobless Claims - lower than expectation
This week, investors will look for guidance from economic reports like Construction Spending, Vehicle Sales, Job Openings, Employment, Consumer Credit and Jobless Claims.
コメント