SPX: S&P 500 Crosses 6,700 to New Record as Traders Shrug Off Shutdown Worries

Can’t ignore the bullish urge for long. Money managers rushed to load up on equities despite a government shutdown that may last days.

📢 Stocks Post New Record High

• The S&P 500 index (SPX) soared to a fresh record high Wednesday, closing above 6,700 for the first time ever, after traders returned to their risk-hungry behavior. The other two indexes did just as good.
• The Dow Jones Industrial Average index DJI powered higher by just 43 points – not much, but honest work. It was a record on its own at 46,441.10. The Nasdaq Composite index IXIC rose 0.4% to move closer to its record high set on September 22.
• It was the S&P 500’s 29th record close of the year – a masterclass in record-setting moves despite troubles all around. Here’s what happened on the day and what’s expected to happen next.

📞 Shutdown? What Shutdown?

• The US government shut down on Tuesday and won’t be opening at least until Friday when the Senate gets back from its break. Investors took the news with a dose of optimism and decided that it was a good time to bet on risk assets.
• It wasn’t like that from the get-go. In fact, stocks were staring at deep losses after the opening bell. And still, only about 100 stocks of the S&P 500 made it into the green, buoying the whole thing out of a losing session.
• For September, equities in the broad-based index are flexing a 3.5% increase, a notable performance given tariff fears, Fed jitters (Lisa Cook will stay at least until January, the Supreme Court ruled), inflation expectations, and interest rate moves.

🎁 Q3 Out, Q4 In

• Looking ahead, it’s the start of the fourth quarter and that means one thing – happy Q3 everyone. The earnings calendar is packed with good stuff over the next weeks when traders and investors will see how corporate America fared in the past three months.
• First to report earnings performance are the big banks on Wall Street, JPMorgan JPM, Goldman Sachs GS, Bank of America BA, etc.
• Big Tech is the next wave with the Magnificent Seven crew ready to roll. Money spinners will be looking for raised spending guidance, earnings and revenue projections and, of course, the numbers for the third quarter.