Stocks Rally on Debt Deal

The stock market is up again today. This could be another 1% move for the S&P 500. There seem to be the outlines for a short-term deal on the debt ceiling.

Washington’s race to reach an agreement on the debt ceiling has been an overhang for the market this week as investors hoped to avoid a government default. Schumer said lawmakers reached a deal on a short-term debt ceiling increase, which he hopes will be passed on Thursday. The deal will extend the debt ceiling through early December.

This morning’s jobless claims report came in at 326,000. Expectations were for 348,000. It was also a drop of 38,000 from last week. The pandemic low is 312,000 from a few weeks ago. I wouldn’t be surprised to see us break it again.

The jobs report is tomorrow. Expectations are for 500,000 and for unemployment to fall to 5.1%.

Posted by on October 7th, 2021 at 2:42 pm


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