Friends
The lingering effects of the 3rd quarter seemed to dominate trading today as stocks shrugged off decent ISM manufacturing and construction spending numbers and spent the day in negative territory. The Dow Jones Industrial Average was down 258 points and the S&P 500 was down 32 to close at 1099. Importantly, the S&P penetrated the 1101 level that we noted as major support (August 8th lows). We’ll see if the bulls can rally here at this point, if not then 1070 is the next support level to the downside. It is not surprising that there was follow through of last month’s carnage in today’s trading. We’ll see if by mid-week the bulls can make a stand.
Gold was up most of the day trading $31 higher at the close near the $1653. Oil continues its decline down $2.40 to close under $77 per barrel WTI, having broken its trading range of $80 to $90.
The S&P 500 was down 7% for the month of September and 14.3% for the quarter. Year to date, the S&P is down 10%. We’ll see how things unfold this week, but not surprisingly we’re not off to the best of starts. We’ll be watching the economic numbers this week culminating in the non-farm payroll number on Friday. We’ll keep you informed.
Have a nice evening everyone.
