Markets down as government shutdown adds to investor concerns

The Dow Jones Industrial Average late-morning Thursday fell to session lows after President Donald Trump appeared reluctant to sign a bill that would extend funding for the government, and avoid a partial shutdown. The Dow was down 430 points, or 1.6%, at 22,955, the S&P 500 index declined by 1.6% at 2,466, while the Nasdaq Composite Index fell 2.1% at 6,501, touching a bear-market level, usually defined as a drop of at least 20% from a recent peak. Markets were already on edge after investors were disappointed that the Federal Reserve didn’t sufficiently communicate a dovish stance after it raised benchmark rates by a quarter of a percentage point on Wednesday to a range of 2.25% to 2.50%, and lowered its guidance for coming rate increases.

MarketWatch

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Craig Erlam

Craig Erlam

Senior Market Analyst, UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a market analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and SKY News. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam