October 9, 2021 Weekly Market. The Dow Jones Industrial Average led the major US equity indices with +1.22% followed by the S&P 500 Index +0.79% and the Nasdaq +0.09%. Core inflation rose +3.6% in August from a year ago, the biggest jump in more than 30 years. Supply chain shortages have elevated preexisting inflationary pressures by growing beyond electronics and chips into most other commodities: oil is at a 6-yr high, beef up +14%, pork by +12.1%, and poultry by +6.6%. Even food-away-from-home like restaurant purchases is +4.7 percent higher. Also, the job report was disappointing only 235,000 positions added vs. expectations of 720,000.
October 2, 2021 Weekly Market Update. The S&P 500 equity index fell -4.8% in September, representing the worst month since March 2020. Further, the S&P 500 finished the month -5.1% below its all-time high set on September 2, 2021. Fortunately, on the first day of trading for October the S&P 500 bucked the past four days of losses with a robust turnaround in trends, rebounding +1.2% on the day. On the economic front, consumer spending, which accounts for over two-thirds of U.S. economic activity, rose +0.8% in August while inflation also maintained its upward trend with the monthly personal consumption expenditures (PCE) price index up +0.3% (+3.6% over past 12-months}.