|Day's Range||24,284.78 - 25,095.62|
|52 Week Range||23,344.52 - 26,951.81|
Trade has become the driving theme for investors, and with trade optimism fading and the market selling off in response, what investors saw last week could be a preview of things to come next year.
An investor trend that has helped buoy stocks over most of the past decade is showing signs of breaking down. For the first time since the dot-com era, investors are cautious about buying shares after selloffs, raising signals that the longest bull market in U.S. history is in its late stages. This year, that “buy-the-dip” trend has broken apart.
With three weeks left until the end of 2018, both the Dow and the S&P 500 are mired in the red. And it will essentially be up to the Federal Reserve to determine whether the stock market will extend its winning streak for a third year or take a breather.
Sunday's drop in futures comes after China summoned the U.S. ambassador to Beijing to protest Huawei CFO Meng Wanzhou's detention. The arrest is seen as a potential deterrent to the U.S. and China reaching a permanent deal on trade. Huawei is one of the largest tech companies in China and is seen as symbol of pride by the Chinese government.
Although falling stocks and rising interest rates will continue to weigh on sentiment, those negatives are likely to be offset by higher wages and retreating oil prices, Goldman says in a research note to clients.
The week’s 10 worst performers among the S&P 500 all post double-digit declines, led by SVB Financial and American Airlines.
A busy week ahead will see Britain’s fate become all the more clear, with the ECB delivering on policy. On the risk front, U.S and China will be in focus.
DEEP DIVE Considering how much coverage there has been of the strengthening U.S. economy, demand for workers and a massive tax cut that has boosted corporate earnings, 2018 has been a disappointing year for the stock market overall.
The Dow Jones Industrial Average fell sharply Friday following a U.S. jobs report that was weaker than expected. Oil prices jumped Friday after OPEC member states and their allies agreed to cut production for at least six months. rose 0.58% Friday after the chipmaker posted fiscal fourth-quarter earnings that topped estimates and it issued a forecast higher than analysts' expectations.