Friends
For the past week the business news channels have been reporting breathlessly on every phone call between Speaker Pelosi and Treasury Secretary Mnuchin. The markets were becoming convinced that another stimulus deal could be hammered out. It had to happen, right? The airlines are within days of layoffs and still millions of Americans need help. But, this afternoon, the President indicated in a tweet that negotiations were off until after the election. Well, the markets didn’t care much for that as stocks tumbled decisively into negative territory.
By the close, the Dow Jones Industrial Average was down 375 points to finish the day at 27,772. The S&P 500 was down 47 points to close at 3,360. The Nasdaq Composite Index was down 177 points to close at 11,154. Gold was down $26 to trade at $1,893 per ounce, while oil was up $.82 to trade at $40.04 per barrel WTI.
Another stimulus deal will happen, before or after the election, regardless of who wins. I know it’s a lot of money, and we have to address our debt situation in the U. S., but by no fault of their own there are a lot of folks who still need help to get through this pandemic crisis period. We’ll see if these are negotiating ploys or if things really are on hold until the election. Stay tuned.
Have a nice evening everyone.
Jim
