|
The Markets
Last week, markets jittered and slumped on news that Syria was thought to have used chemical weapons against civilians. According to The New York Times, 70 percent of stocks that trade on the New York Stock Exchange finished Friday lower, and 73 percent of those listed on the NASDAQ lost value.
There were signs of renewed optimism on Labor Day. Although U.S. markets were closed, world markets responded well to news that there would be no immediate American military action against Syria. Encouraging economic data from China and Europe helped share prices, too, although it didn't do much for government bonds, gold, or the Japanese yen.
Post Labor Day, investors will be anticipating employment data with the zeal of Green Bay Packer fans decked out in foam cheeseheads awaiting the opening kickoff at Lambeau field. The Financial Times, a British publication that has little interest in American football but great interest in U.S. Federal Reserve policy, put it this way:
"Members of the U.S. Federal Reserve open market committee will get their last pieces of information about the labor market before their all-important September meeting, which has been heavily trailed as posing the first real opportunity for the Fed to embark on a taper... The US economy has been recovering at a painfully slow but steady rate for more than two years now and with no sign of any step-up in the pace of improvement, the Fed policy-makers face a finely balanced decision." 70 percent of New York Stock Exchange stocks closed lower on Friday, and
No matter what happens, emotions are likely to be running high this week.
|
Data as of 8/30/13
|
1-Week
|
Y-T-D
|
1-Year
|
3-Year
|
5-Year
|
10-Year
| |
Standard & Poor's 500 (Domestic Stocks)
|
-1.8%
|
14.5%
|
16.7%
|
15.9%
|
5.0%
|
4.8%
| |
10-year Treasury Note (Yield Only)
|
2.8
|
NA
|
1.6
|
2.6
|
3.8
|
4.6
| |
Gold (per ounce)
|
1.3
|
-17.7
|
-16.0
|
3.9
|
11.2
|
14.0
| |
DJ-UBS Commodity Index
|
0.2
|
-6.2
|
-10.1
|
-0.4
|
-6.6
|
0.9
| |
DJ Equity All REIT TR Index
|
-1.9
|
-0.6
|
1.4
|
13.1
|
4.9
|
9.5
|
Notes: S&P 500, Gold, DJ-UBS Commodity Index returns exclude reinvested dividends (gold does not pay a dividend) and the three-, five-, and 10-year returns are annualized; the DJ Equity All REIT TR Index does include reinvested dividends and the three-, five-, and 10-year returns are annualized; and the 10-year Treasury Note is simply the yield at the close of the day on each of the historical time periods.
Sources: Yahoo! Finance, Barron's, djindexes.com, London Bullion Market Association.
Past performance is no guarantee of future results. Indices are unmanaged and cannot be invested into directly. N/A means not applicable.
|