Over the years, it has not been very often where the opening of the 6:00 PM EST session (for the following day) opens right at the high for the day and closes on the low for the day. Unfortunately, that is what took place in today’s session.
Investors have finally come to grips with the reality that the Federal Reserve Bank has not declared victory in its fight against inflation. Therefore, more interest rate hikes may be forthcoming.
Furthermore, the threat of government shutdown and the ongoing UAW strike against the Big Three are going to have negative impacts on the US economy.
Most importantly, Q3 earnings season is on the horizon and if earnings are not meeting expectations, there may be a major leg lower in the markets.
The index had its worst session since early March, tumbling 75 handles at the closing price of 4372.
Among the top components, UnitedHealth Group (NYSE: UNH) was the only, and therefore the biggest winner for the second day in a row. The issue once again fully participated in a rally in the defensive private insurance sector. For the session, the issue added $9.01 or 1.83% at the closing price of $501.14.
That was well over three percent better than the cash index’s decline of 1.68%.
On the downside, Amazon.com Inc. (NASDAQ: AMZN) was the biggest loser. The issue was rocked for the second day in a row by falling $5.97 or 4.4% at the closing price of $129.32.
