What’s going on in the world…
Market opened in the red again as news flow in September is being driven by Washington. Generally, when politics and geopolitics have been the main point of focus, stocks struggled. The Market was due for a breather after a stellar run to close out August. But yesterday’s selloff was largely erased, and the S&P closed well off the lows. The Stock Market keeps acting like a submerged beachball under water. It just won’t stay down. The underlying health remains quite strong. Earnings and economic growth have accelerated. These are the biggest drivers of stocks. A near-term breather was in the cards after racing to fresh new highs. Emerging Markets have felt the most pressure of late. The strong Dollar has contributed. It’s weaker however in early trading. Washington will be ground zero for events today. NAFTA talks resume. Facebook’s Sheryl Sandberg and Twitter’s Jack Dorsey will be on Capitol Hill testifying on the influence of foreign sources in social media and what the companies are doing to counter the threat. The Google chair could very well be empty. Let the Political Theater begin… Day 2 of Supreme Court justice nominee Brett Kavanaugh’s hearings will be held. The most powerful storm in 25 years hit Japan overnight shutting down much of industry. Tropical Storm Gordon hit the Gulf Coast today. Amazon cleared the $1 Trillion mark yesterday, joining Apple as the only other American company to reach this milestone. It did not hold the level long. Expect more choppy action today. Volume has picked up and so will the news flow and activity. That’s generally how September rolls.
Have a great morning,