Dow books worst month since Oct. 2020, skids 550 points in final session of September U.S. stocks close lower Thursday, despite last-minute moves from Congress to avert a partial government shutdown, as Wall Street wrapped up the last trading day of a tough September and third quarter.
Investors also were parsing testimony from Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen, who appeared before the House Financial Services Committee.
For the month, the Dow recorded a 4.3% decline, and the S&P 500 was down 4.8%, snapping a seven-month winning streak. The Nasdaq Composite was off 5.3%, its worst September in a decade. For the quarter, the Dow was down 1.9%, the S&P 500 was up 0.2% and the Nasdaq Composite was up 0.4%.
What drove the market?
Congress voted through a short-term spending bill to keep the U.S. federal government running through early December, acting with only hours remaining before a partial shutdown. Congress has yet to raise the federal debt ceiling though.
The House is still aiming to pass a roughly $1 trillion infrastructure bill already passed by the Senate, but which may be in doubt as Democratic factions are threatening to block the bill unless moderate members sign on to supporting a separate, broader bill focused on climate change, education, and healthcare.
Investors were also digesting fresh comments from Fed Chairman Jerome Powell, on inflation remaining high for the time being due to supply bottlenecks as the economy recovers from the pandemic, as he testified to a House panel on COVID relief, along with Treasury Secretary Janet Yellen. ............
https://www.marketwatch.com/story/u-s-stock-futures-point-to-gains-on-the-last-trading-day-of-september-11633002997?mod=home-page
