Investors are trying to shake off a rough September - a tumultuous month that brought fears of inflation, slowing growth and fading stimulus. The S&P 500 finished the month down 4.8%, its first loss in seven months. The Dow Jones was down 4.3% and the Nasdaq Composite was down 5.3% - all suffering their worst months of 2021. Nerves could soon be calmed as October is typically the beginning of a stock market turn-around. Historically, for the S&P 500, October posts a 0.8% increase, followed by November bringing in a 1.6% increase and, to close-out the year, in December, a 1.5% increase. If history repeats itself, the poor September may turn out to be just a blip on the stock market radar.
Economic reports from last week came back mostly negative: •Manufacturing (Dallas) - worse than expectation •House Prices - worse than expectation •Consumer Confidence - worse than expectation •Pending Home Sales - better than expectation •Jobless Claims - worse than expectation •Construction Spending - worse than expectation •Consumer Sentiment - better than expectation This week, investors will look for guidance from economic reports like Vehicle Sales, Factory Orders, Employment, Jobless Claims and Consumer Credit.
Comments