Read the highlights of this week’s commentary from Helios:
- Stocks extended their November rally with tech giants leading the way. The S&P 500 advanced roughly 1.4%, while the Dow added about 0.7%. The Nasdaq was the outperformer, rising 2.4% on the week.
- Despite recent market volatility, a resilient economy has supported equities amid uncertainty about the Federal Reserve’s interest rate policy.
- The credit ratings agency Moody’s changed its outlook on the US government’s credit ratings from “stable” to “negative.” The move comes as Congress faces the possibility of another government shutdown after Friday, November 17th .
- Moody’s predicts that if the US does not implement effective fiscal policies to reduce government spending or increase revenue, the country’s fiscal deficits will remain high as interest rates rise.
- Data released by the New York Fed Consumer Credit Panel and Equifax showed US household debt held by individuals under 50 reached a record high in the third quarter. Individuals between the ages of 40 and 50 carry the most debt, while those in their 30s and 50s hold roughly equal levels of debt.