Soaring oil prices, supply chain disruptions, and bond tapering have investors buying up the US dollar while causing downward pressure on mega-caps stocks. Small caps led on Tuesday while big technology stocks declined.
Markets moved lower after payrolls data missed expectations. Energy stocks led the day following Crude Oil Futures higher, while Financial stocks did well on rising interest rates.
A deal over raising the debt-ceiling eased investor worries and sent markets higher on Thursday. The rally included broad gains across the market, with small caps and growth stocks leading the way.
Markets rebounded from early morning losses after a deal to lift the debt ceiling until December made investors more optimistic. Defensive sectors led the day, indicating some nervousness still exists in the market.
Stocks bounced higher following days of selling in big tech and growth stocks. While economic indicators are looking positive, fears still loom over the debt ceiling debate in Washington.
Rising Treasury Yields in the morning had investors exiting positions in Big Tech and Growth stocks, sending indexes lower for another day. However, OPEC held its position on a gradual increase in output despite an energy crunch, and they are still predicting higher demand in the coming months.
Markets fell in the morning before bouncing and closing higher as investors returned to reopening trades and went hunting for discounts in the growth sectors.
The market ended a red month with another red day while investors await action in congress on government funding, the debt ceiling, and the infrastructure bill. September is the first monthly decline for the S&P 500 since January.
Two failed rallies for the Nasdaq ended in a decline for the day while the Dow Jones completed the day with a gain. Growing concerns about the debt ceiling debate in Washington and continued inflation in the economy have Investors playing defense.
Stocks fell on Tuesday among fears that the US government could shut down and default on its debt if there is no agreement in Congress to raise the debt ceiling this week. Treasury yields rose while interest-rate sensitive Technology stocks led markets lower.