The 2020 Presidential Election and the Market

With the 2020 Presidential Election less than a year away, it’s natural to be concerned about the impact of politics on the stock market and economy. After all, the past three years have been politically turbulent to say the least. Even as we write this, Washington is in the midst of an impeachment hearing. On a short-term basis, headlines and tweets have the power to move markets and create stock market volatility. How should investors react to what may be a bitter presidential campaign? It goes without saying that as…

November 22, 2019 Weekly Market Recap

The S&P 500 snapped a six-week winning streak, although it declined just 0.3% this week. The Dow Jones Industrial Average (-0.5%), Nasdaq Composite (-0.3%) and Russell 2000 (-0.5%) performed in-line with the benchmark index this week, reflecting a broad-based lack of conviction. The week began with the large-cap indices closing at incremental record highs on Monday, but stocks ultimately struggled for direction the rest of the week. The S&P 500 materials (-1.7%) and real estate (-1.2%) sectors lost more than 1%. The health care (+0.8%), financials (+0.5%), and utilities (+0.2%)…

November 1, 2019 Weekly Market Recap

November 2, 2018 Weekly Market Recap

The S&P 500 (+1.5%) and Nasdaq Composite (+1.7%) both set record highs in this macro-driven week that featured the Fed, economic data, earnings reports, and trade news. The Dow Jones Industrial Average rose 1.4%, and the Russell 2000 rose 2.0%. The Fed is a good place to start after it cut the target range for the fed funds rate by 25 basis points to 1.50-1.75%. This was expected, but the central bank signaled that another quarter-point cut shouldn’t be expected soon. Fed Chair Powell added that he would need to…

October 4, 2019 Weekly Market Recap

August 31, 2018 Weekly Market Recap

The markets staged an impressive comeback rally on Friday, though the S&P 500 still declined 0.3% for the week. Several economic reports reawakened growth concerns and contributed to heavy selling, but the market was able to end the week on a positive note following decent employment data for September. The Dow Jones Industrial Average lost 0.9%, and the Russell 2000 lost 1.3%. The Nasdaq Composite increased 0.5%. Five S&P 500 sectors finished lower, while six finished higher. The energy (-3.8%), materials (-2.5%), industrials (-2.4%), and financials (-2.2%) sectors posted big…

September 27, 2019 Weekly Market Recap

September 27, 2019 Weekly Market Recap

The major U.S. indices lost ground this week, as the market appeared rattled by negative-sounding headlines related to trade and politics. The Dow Jones Industrial Average declined just 0.4%, but the S&P 500 (-1.0%), Nasdaq Composite (-2.2%), and Russell 2000 (-2.5%) posted sizable losses. The market had two noticeable declines this week, with the first one coming on Tuesday as the market paid heed to the launch of an impeachment inquiry on President Trump. It seems unlikely at this point that anything material will transpire, but the political wrangling and uncertainty…