investors do not want to wait and see if the legislature did not reach an agreement to avoid a government Shutdown midnight . You just sold.
The Dow Jones industrial average fell more than 128 points, or nearly 1% on Monday. S & P 500 and There are ups only two weeks. All three indexes rose in the quarter, led by Nasdaq , which has increased by 11%.But some strategists predict that stocks could fall further if the government closes shop – even if it is only a short break related. 8 things you need to know about the debt ceiling
Citigroup analyst Tobias Levkovich said the “fierce debate in Washington,” coupled with slower economic growth was the S & P 500 in 1600 to press, a decrease of more than 5% of the current level.also expect Levkovitch and some other analysts that companies reduce their profit forecasts in 2014 when they report third-quarter earnings in the coming weeks. This could be another wake-up call for investors bullish despite some had big risks in the course of the year. related: Fear & Greed index shows investors increasingly fear
The closure is not the only thing in Washington that investors are concerned. Inventories withdrew that the United States meets near the debt ceiling ., if Congress does not raise the debt ceiling, the U.S. government will not be able to pay all their bills later this month.Fear and volatility tip: The volatility index of the Chicago Board Options Exchange (, an important increased market volatility better known as known, the VIX, nearly 10% in each of the past two trading days. But it is still relatively small 17 – well below the mid-40s range, it was the U.S. credit by Standard & Poor’s downgraded when traded in 2011. )
CNNMoney and avidity index away in fear mode and approximate levels of extreme anxiety. The index was flat only there one week.: Obamacare and the biotech boost healthcare
What moves: shares apple ( fell more than 1%, as investors awaited details of the lunch CEO Tim Cook reported with activist investor Carl Icahn. Traders do not hold hope for good news though .“ $ AAPL AAPL .. when traders really thought it would be fireworks when they meet for lunch “in the know”, many more calls are trading, “writes commentator StockTwits JC Penney (