The Dow Jones Industrial Average recorded a 0.16% increase, while the broad S&P500 rose by 0.13%. Conversely, the tech-heavy Nasdaq declined by 0.21%, ending the week with a cumulative loss of over three percent.
“It’s very unsettling for investors not to have an overview of the economic situation,” commented Tom Cahill of Ventura Wealth Management.
The congressional budget impasse has reached its 38th day, the longest on record, causing a shutdown of federal government services and agencies. This has deprived investors of several official economic statistics, including an important employment report due today.
The only indicator available was released by the University of Michigan, regarding consumer confidence in November, which showed stagnation at its lowest levels since 2022.
Both consumers and businesses are showing concern about when the government will resume activity, impacting economic activity, highlighted Tom Cahill.
Investors continue to avoid tech conglomerate stocks due to concerns that expenses in artificial intelligence (AI) development may not be profitable in the near future, noted this analyst.
However, these expenses and the excitement around AI have driven major stock indices to several record highs in recent months.
“When prices reach or approach their record highs, investors have reasons to take some profits,” said Art Hogan of B. Riley Wealth Management.
