Welcome to this week’s Market Drama!
Stock Market Updates
What Drove The Market?
The second consecutive week of market sell-offs was driven by:
- Volatility ahead of elections next week. Treasury yields continued to rise this week, reflecting market concerns over the elections.
- On Friday, the Labor Department reported Non-Farm Payrolls:
- Results were essentially unchanged month over month.
- Job growth was lower than anticipated, largely due to labor strikes at Boeing and the impact of Hurricanes Helene and Milton.
Earnings
Some big tech companies, including Microsoft and Facebook, reported earnings.
- They performed well in terms of current earnings.
- However, concerns arose over lowered guidance for next year’s earnings and increased capital expenditures, specifically in AI. The market is assessing how effectively this spending will yield future earnings.
Coming Up Next Week:
- Tuesday: Elections.
- Wednesday: Federal Reserve Meeting.
Stay tuned for next week.
– Andres