Here’s Why Investors Will Be Risk-Averse This Week
Stocks began to fade on Tuesday as investors became more risk-averse ahead of this week’s important economic reports. As I said on Monday: With the advance estimate of third-quarter GDP scheduled for release on Thursday and the October non-farm payrolls report set for Friday, it will be a challenge for stocks to maintain their current price levels through the week.
The Dow Jones Industrial Average (NYSEARCA:DIA) lost 20 points to finish Tuesday’s trading session at 15,618 for a 0.13 percent decline. The S&P 500 (NYSEARCA:SPY) declined 0.28 percent to 1,762. The Nasdaq 100 (NASDAQ:QQQ) rose 0.12 percent to finish at 3,388. The Russell 2000 (NYSEARCA:IWM) dropped 0.42 percent to 1,103. In other major markets, oil (NYSEARCA:USO) sank 1.09 percent to close at $33.67.
On London’s ICE Futures Europe Exchange, December futures for Brent crude oil declined 60 cents (0.57 percent) to $105.50/bbl. (NYSEARCA:BNO). December gold futures declined $3.00 (0.23 percent) to $1,311.70 per ounce (NYSEARCA:GLD). Transports took a wrong turn on Tuesday, as the Dow Jones Transportation Average (NYSEARCA:IYT) declined 0.59 percent.
In Japan, a mixed bag of earnings reports resulted in a modest advance for the Nikkei. Nissan shares sank 10.41 percent on weak earnings guidance. The exchange rate for the yen was 98.45 per dollar just before Tuesday’s closing bell in Tokyo (NYSEARCA:FXY). The Nikkei 225 Stock Average rose 0.17 percent to 14,225 (NYSEARCA:EWJ).