Stock markets have had a bad start to October. The Dow has lost some 830 points with the FTSE 100 shedding 286 points in the first two days of the month.
The Dow and S&P 500 have their worst start of a quarter since the 2008 financial crisis.
Why? Here are 13 concerns I have…
- Recession fears re-emerge
- October considered an unusually volatile period for the stock market
- Potential of ‘no-deal’ Brexit sitting heavy on the FTSE 100
- Latest U.S. manufacturing PMI reading the worst in 10 years
- U.S. President Trump faces impeachment
- Latest U.S. job data shows signs of easing
- S&P 500 fell below its 50 day moving average on Tuesday
- U.S. – China tariff trade war
- WTO ruling in favour of U.S. Airbus dispute – more tariffs levied on EU goods
- Recent China manufacturing data shows signs of sector slowing
- U.S. – recent yield curve inversions
- Recent reports of U.S. bank liquidity issues
- High debt levels?
It’s difficult to pin point any one particular reason for the two day stock market drop. The Dow and S&P 500 were close to new highs.