Last Friday’s worse than expected September jobs report likely reduced the odds of the Federal Reserve raising interest rates this year, lifting bond and stock prices.
Global stocks were down again last week, for the second week in a row and the third time in the past four weeks.
Stocks in the U.S. and Europe dropped sharply late last week after the Federal Reserve opted to sit tight on raising interest rates at its monetary policy meeting on Thursday, mainly citing recent financial market instability and concerns about global growth.
U.S. stocks had their best gains in the past two months last week as investors await this week’s pivotal Federal Reserve monetary meeting at which the Fed may – or may not – raise interest rates for the first time in nearly a decade.
Stocks continued their slide into the first week of September.
Ending one of the most volatile trading weeks in history, U.S. stocks managed to end last week in positive territory.
After a prolonged period of low volatility, the S&P 500 declined 8% through August 24th of this year followed by declines in global stocks and commodities. From its high on May 21, 2015, the S&P 500 index is now down a little over 11%, the first over 10% move in 46 months.