S&P 500 Fundamental Forecast – August 31. 2016

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Published: Aug 30, 2016, 13:24 UTC

The S&P 500 recovered 11 points and could hit a record high, but tax problems brewing with Apple may weigh on the equities markets today. The index is

S&P 500 Fundamental Forecast – August 31. 2016

The S&P 500 recovered 11 points and could hit a record high, but tax problems brewing with Apple may weigh on the equities markets today. The index is at 2180.38 and continues in a positive direction. commodity-sector stocks led the S&P 500 higher in a low-volume session on Monday after consumer spending rose for a fourth straight month, pointing to a pick-up in US economic growth. Wall Street was helped by gains in financial shares after comments from top Federal Reserve officials on Friday bolstered expectations for an interest rate hike from the US central bank this year, while European shares dipped and the dollar rose.

Investors continued to digest comments from US Federal Reserve officials on Friday. After Fed Chair Janet Yellen said the case for a rate hike before the end of the year was strengthening, Vice Chair Stanley Fischer seemed to indicate not only the possibility of a tightening move in September but a second in December.

The Dow Jones industrial average rose 107.59 points, or 0.58 per cent, to 18,502.99, the S&P 500 gained 11.34 points, or 0.52 per cent, to 2,180.38 and the Nasdaq Composite added 13.41 points, or 0.26 per cent, to 5,232.33.

The S&P closed 0.45 per cent below its record high set earlier this month. Data last week showed speculators are the most net long S&P e-mini futures contracts in three years.

Stock trading volume was the weakest so far this year at just below 5 billion shares, compared with the average of 6.1 billion over the past 20 days. It is expected to remain low through the week, the last of the US summer vacation season.

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August 31, 2016

Country	Event	Volatility	Previous
GBP	Gfk Consumer Confidence	2	-12
JPY	Industrial Production	2	-1.5
JPY	Industrial Production	2	2.3
AUD	HIA New Home Sales	2	8.2
CHF	UBS Consumption Indicator	2	1.34
EUR	Unemployment Rate s.a.	3	6.1
EUR	Unemployment Change	3	-7
EUR	Unemployment	2	11.6
EUR	Unemployment Rate	2	10.1
EUR	Consumer Price Index	3	0.2
EUR	Consumer Price Index – Core	3	0.9
USD	ADP Employment Change	2	179
CAD	Gross Domestic Product Annualized	2	2.4
CAD	Gross Domestic Product	2	-0.6
USD	Chicago Purchasing Managers’ Index	2	55.8
USD	Pending Home Sales	2	1
USD	Pending Home Sales	2	0.2