Global Courant
Traders on the NYSE trading floor, July 6, 2022.
Source: NYSE
Stock futures hovered around the flat line Monday evening.
Futures associated with the Dow Jones Industrial Average fell by 25 points, or 0.07%. S&P 500 futures fell by 0.05%, while Nasdaq 100 Futures lost 0.06%.
Stock prices were largely up during regular trading hours, with all three major indexes ending the day with modest gains. The S&P500 added 0.4%, while the Nasdaq Composite advanced 0.45%. The 30 stock Dow rose by 0.13%. All three indexes broke four-day losing streaks.
Still, stocks are on track to end September lower, a month already known to be historically weak for equities. Last week’s Federal Reserve policy meeting also provided investors with guidance predicting longer interest rate cuts and fewer cuts into 2024 than previously expected.
Investors will also be watching for progress in Washington as lawmakers hope to avoid a government shutdown that could happen as early as Oct. 1 if Congress fails to agree on a spending bill.
The coming seasonal market tumult could present an opportunity for investors. Although October is known as “jinx month” due to the crashes of 1929 and 1987, it also has a reputation for being a “bear killer,” according to the “Stock Trader’s Almanac.”
“While October is typically one of the most volatile months of the year, it is also the month when we typically see great buying opportunities because it is right before November and December, which are seasonally strong times of the year for the markets,” said Mary. Ann Bartels, chief investment strategist at Sanctuary Wealth.
On the economic data front, investors will be looking forward to the final report on August building permits before the bell on Tuesday, as well as new home sales data for the past month later that morning. The Conference Board’s consumer sentiment report for September will also be released.
