US Stocks Ended June 9, 2017

Last week U.S. stocks moved lower through Tuesday, rebounded on Wednesday and Thursday and ultimately closed out the week lower by -0.27% on Friday, as measured by the S&P 500. Political news continues to drive the markets. Former FBI Director James Comey testified in front of the Senate on Thursday and raised questions about President Trump's conduct. On the other side of the Capitol, the House voted to overhaul major sections of the Dodd-Frank law. The measure would exempt banks from stricter oversight by regulators if more capital is held, and would give Congress more power over the bank regulatory system. Overseas, the U.K. voted in a snap election fronted by Prime Minister Theresa May. The vote was May's way to increase her parliamentary majority, but the plan failed as the Labour Party increased its seats. Back in the US, Consumer Discretionary and Information Technology stocks were the worst performing groups in the S&P 500. However, the top performing stocks in the index were mostly from those two groups. Advanced Micro Devices, a semiconductor manufacturer, posted the best return in the index. News that the company's graphic chips would be a component of some new Apple products and a boost in sales due to Bitcoin mining caused the company to rally this week. The department store Nordstrom rallied through the end of the week after management announced they were exploring options to take the company private as a means to return to positive sales. Under Armour and Michael Kors also went against the retail slide with both stocks returning about 8% during the week. The Federal Reserve is expected to raise rates this week. Markets will look to this decision and the commentary supporting the move; most notably the plan to shrink its $4.5 trillion dollar balance sheet after accelerating asset purchases following the financial crisis.

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Posted on Monday, June 12, 2017 @ 10:00 AM

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