Wall Street was set to open slightly lower on Thursday as strong economic data and comments from Federal Reserve officials suggested monetary policy could be tightened by the end of the year. A report showed the number of Americans filing for unemployment benefits unexpectedly fell last week to a near 43-year low, indicating firmness in the labor market.
The fourth quarter got off to a weak start for U.S. stock investors on Monday, with banks and utilities pulling the S&P 500 lower. Major indexes have bounced between gains and losses in the past few days, with investors nervous about the outcome of a tight race for the White House ahead of the Nov. 8 election.
Financials markets may have found their black swan and it had nothing to do with Donald Trump, Hillary Clinton or any of the usual controversies we’ve speculated on over the months. No, the Germans may have their own Lehman moment coming just around the corner with Deutsche Bank. A zerohedge.com story says Merkel cannot politically afford to bail out the troubled bank.
U.S. markets were set to start the fourth quarter on a subdued note as oil prices pared gains, while investors looked forward to economic data that could provide further clues on the health of the economy.