S&P500 -2.39% (2,127.81); NASDAQ -2.36% (5,125.91); DJIA -2.20% (18,085.45)
This week’s reports:
- August’s ISM Non-Manufacturing Index fell to 51.4, its lowest level since February 2010, from July’s 55.5.
- July’s Consumer Credit rose to $17.71B from June’s $14.53B. The increase was led by a surge in non-revolving credit. Initial Jobless Claims for the week ending September 2nd fell by 4K to 259K. Continuing Jobless Claims for the week ending August 26th fell by 7K to 2,144K.
- US stocks fell in the worst selloff since Britain voted to leave the European Union after a Federal Reserve official signaled more willingness to raise interest rates and the European Central Bank left its rates and policy unchanged, defying expectations.
- Stocks retreated worldwide as signs emerged that central banks are starting to reassess the benefits of further monetary easing. Federal Reserve Bank of Boston President Eric Rosengren warned that waiting too long to raise rates threatened to overheat the US economy and could risk financial stability. ECB President Mario Draghi downplayed the need for more stimulus measures to bolster growth.