US Stock Market Overview – Stock Slide as COVID-19 Spread AcceleratesConsumer confidence surges
US stocks moved lower but finished well of the session lows. Volatility edged lower, despite concerns that COVID-19 started to spread more rapidly. Retail bankruptcies, liquidations, and store closings in the U.S. reached records in the first half of 2020 which weighed on stocks. Consumer confidence rebounded sharply rising above 100 for the first time in 6-months but well off the highs seen in February. Most sectors in the S&P 500 index were lower on Tuesday, led down by Energy shares, Technology bucked the trend. US bond yields moved lower on Tuesday pulling the dollar down which helped buoy gold prices. Oil prices dropped more than 3% and natural gas tumbled more than 8% which weighed on energy shares. This evening will be the first debate between President Trump and former Vice President Biden. If Trump is hailed as the winner of the debate the markets will likely rally.
Retail Bankruptcies Surged
Retail bankruptcies, as well as liquidations and store closings in the U.S., reached records in the first half of 2020 due to the spread of COVID-19. During the first half of 2020 18 retailers filed for chapter 11 protection, according to the report by professional-services firm BDO USA LLP.
Consumer Confidence Surged
Consumer confidence staged a major comeback in September, rising 15.5 points in The Conference Board’s monthly index to reach 101.8. That is the highest figure since the COVID-19 pandemic took hold in March, but still significantly below February’s reading of 132.6. The latest figure, released Tuesday, was the first time consumer confidence bounded above the 100 level in six months.