Today, we tweaked the layout of the small trend chart to show the month label. We also added a 1d indicator to the stock price so everyone understands we are showing the 1d change.
Red red red. By and large, markets escaped traditional September volatility, but got hammered on the first day of October. The Nasdaq was down 1.13% Tuesday to close 7,908, the Dow slipped 1.28% to 26,573 and the S&P dipped 1.23% to 2,940. In Canada, the TSX fell 1.27% to close at 16,447. Even stalwart Brookfield Asset Management plunged 2.35% to $68.70 while only a few safe havens like utility Boralex eeked out a modest 0.13% gain to close $22.66.
The trigger for all this red ink was Eurozone and American manufacturing numbers which fell sharply. Many blame the ongoing US-China trade war. Though both countries are scheduled to resume negotiations next week in Washington, the White House has continued to send confusing signals to the market, first threatening to delist Chinese companies from American markets, then immediately denying it. Tuesday’s session may be a sign of things to come.
Over the past 30 years, over 190 S&P companies have seen daily moves of more than 1% in October, making it the most volatile month. Chinese markets were much calmer today, since they are closed until October 7 for the 50th anniversary of the People’s Republic of China. However, violent demonstrations continue to rage in Hong Kong from citizens fighting for their rights and resisting the encroachment of Beijing’s authority. Grab a coat and umbrella–October could be stormy.