This just in: CEO Chris Shuba in Financial Planning

Read the highlights of this week’s commentary from Helios:

  • The S&P 500 experienced a 2.5% decline last week, marking its second consecutive weekly drop and pushing it into correction territory on Friday, as it fell more than 10% from its July 31 closing high. In contrast, the Nasdaq, which had already entered a correction earlier in the week, saw gains due to a significant increase in Amazon’s shares following strong profit news.
  • Fortunately, Q3 GDP delivered a better narrative. The US economy grew at an annualized rate of 4.9% in the third quarter, the fastest pace in nearly two years. This growth was fueled by a 4% increase in personal spending, the highest since 2021.
  • On the inflation front, the Q3 GDP deflator declined to 3.2% year-over-year, down from 7.2% in the same quarter last year, indicating a continued downward trend.
  • While personal spending in September rose to 0.7% from 0.4% in August, a concerning trend emerged; September witnessed consumers outspending their income growth. Real disposable income declined for the third consecutive month, resulting in the lowest personal savings rate (3.4%) since December 2022, raising concerns about the sustainability of Americans’ high spending rates.
Want to learn more about Helios Quantitative Research? Click Here to schedule a meeting with one of our representatives!