Stocks traded higher last week on very low trading volume. The week added to the rally we have seen since early June; DOW JONES +0.5%, S&P +0.9%, and the NASDAQ +1.8%. This continues to add to my two steps forward one step back market.
We continue to see very modest positive news from our economic data and jobs. This is not a market you want to read too much into. I don’t feel we will have any real movements until the US elections conclude and our corporations have a good idea of what the landscape and regulations will be for the next 4 years. Don’t expect to see any huge jobs numbers until early next year.
I have had several conversations during reviews and calls about the lack of congressional leadership and the European financial stress. These two main factors are driving the markets with “Headline News”. The headline news tends to disregard the earnings and fundamental of the underlying stocks. This will soon subside as we see many of these headlines go away.
Jason Jennings, CFP®
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