Wall Street rises as Clinton seen winner of second debate
DJ: 18,329.04 +88.55 NAS: 5,328.67
+36.27 S&P: 2,163.66
+ 9.92 10/10
Investors
seemed satisfied that Hillary Clinton won last night’s debate and since she
represents a good deal more stability for the markets than Trump, the Dow shot
up 160 points right out the gate, eventually settling to an 88 point gain. Oil also had a very good day touching a
one-year high as OPEC nears agreement on cutting output and easing this glut of
the past few years. Next on the horizon
is Q3 reporting which starts tomorrow and is expected to bring about a ¾ of 1%
drop in earnings. Anything better than
that will see more rallies. For this
Columbus Day, volume was thin at 5.2 billion shares.
Wall Street sells off on weak earnings, election fears
Dow drops 200 pts on
weak earnings, election fears
DJ: 18,128.66 -200.38 NAS: 5,246.79
-81.88 S&P: 2,136.73
-26.93
10/11
Q3 got off to a very bad start today. With an overall forecast of a minus 1 percent
(a distinct improvement by the way on prior quarters), Alcoa and Illumina were
the first candidates out the gate, both coming in far lower. Plus anxiety over the election continues to
loom big time. Yesterday’s elation over
Clinton’s perceived debate win was short lived when investors decided today
that a Clinton victory next month, while decidedly preferable to Wall Street
over a Trump victory, would also likely mean a Democrat takeover of the
Congress, something Wall Street decidedly does not want. Add to the mix the continuing anxiety over
interest rates and today’s reaction after the Alcoa news was sheer panic
precipitating a nearly 300 point drop in the Dow, though it did come back to
close 200 points down. The trading of
6.7 billion shares was just a little below average.
Wall Street stocks close slightly higher after Fed minutes
DJ: 18,144.20 +15.54 NAS: 5,239.02
-7.77 S&P: 2,139.18
+2.45
10/12
Though there are hundreds of companies yet to report, Q3 is
already going badly with yesterday’s two companies and two more today, Cisco
and Ericsson, coming in with huge profit declines. Though Q3 profits are projected to fall just
under 1 percent, and though this is far better than the 4 or 5 percent expected
declines in prior quarters (all of which turned out much better than forecast)
the big hits to these first four major companies does not sit well with Wall
Street which then took the Dow down 50 points right away but gradually gained
ground throughout the session to close a modest 15 points up. Oil also went up again when OPEC September
inventories were reported at 8-year highs and hopefully there will soon be an
agreement on the long talked about plans to reduce stockpiles. Investors continue to complain about the lack
of clarity from the Fed on interest rates, but actually the Fed’s been very
clear for a long time – interest rates will rise when economic conditions
warrant it – so they are taking it one report at a time, something the market
doesn’t want. It wants, yes we will or
no we won’t, and that is not realistic in this turbulent environment. Yet there is a building consensus that, like
it or not, here we come for the good of the economy. The turbulence is being caused by the
historically low interest rates and the sooner we get back to a normal 3 to 4
percent, the sooner the markets will stabilize.
Yet, Wall Street still panics every time there is a hint of bullishness
from the Fed, something that has been increasingly comoon lately. Volume was below average at 5.6 billion.
Wall Street dips with financials, weak China data
DJ: 18,098.94 -45.26 NAS: 5,213.33
-25.69 S&P: 2,132.55
-6.63
10/13
Reports from
China that exports had fallen a whopping 10 percent in September sent the Dow
immediately into a downward spiral of nearly 200 points before recovering
throughout the session to close 45 points down.
Oil had a good day with stockpiles in diesel and gasoline being reported
down, good news for some long overdue action on the glut. There was also selling due to expectations
that financials will be down, even though the major banks don’t report until
tomorrow. Hopes are still high that
these initial bad reports will not prove typical and that Q3 will actually end
with a small gain. Volume was about
average at 6.7 billion.
Wall Street's gains fade as Yellen questions economy's
resilience
DJ: 18,138.38 +39.44 NAS: 5.214.16
+0.83 S&P: 2,132.98
+0.43
10/14
On Friday,
Yellen sent signals that perhaps the economy is not strong enough to deal with the
next interest rate hike yet and that sent the Dow soaring 160 points right out
the gate. Anything dovish from the Fed
sends it up, anything bullish sends it down.
Anyway, though the oddsmakers still place the likelihood of a December
hike fairly high at 67 percent, today’s comments may mean that a hike won’t
come until early next year. This is all
despite the fact that, though yesterday everyone sold off bank stocks due to
expected bad news today, the news from the financial sector was actually quite
good with JP Morgan Chase and Citigroup all beating forecasts big time. It helped shore up hopes that perhaps Q3 will
end in the black after all. None of this
stopped the gradual all day sell off that left the Dow up just 39 points at
close. But volume was lighter than usual
at 6.0 billion shares.
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