Weekly market review: week ending Sept. 12
By Christopher Reyes
Stocks ended low on the week, breaking their previous winning streak. This is the first week the S&P 500 has fallen in five weeks. The NASDAQ and Dow Jones Industrial Average both fared slightly better but both fell slightly.
A recent rise is the U.S. Dollar from the strength of the economy may have contributed to investor concern. This rise makes U.S. exports less competitive abroad and cause overseas profits to fall.
The economy’s strength also created fear that the Fed may raise short-term interest rates sooner than anticipated. Economic data regarding retail sales, consumer credit and small business all suggest an improving economy. Consumer confidence and borrowing have both been increasing steadily.
Energy stocks performed poorly early in the week, a result of declining oil prices due to diminished concerns that disputes in Russia and the Middle East may result in supply disruptions.
The NASDAQ’s better than average performance was due in part to Yahoo!, which was boosted by its large stake in Alibaba. The Chinese company’s IPO is expected to be one of the largest ever.