Benzinga.com
0
All posts from Benzinga.com
Benzinga.com in Benzinga.com,

Stock Volatility Sticks As Biotech, Commodities Selling Taints Broader Market

Get more expert commentary and daily trading ideas with our Benzinga Professional news and data platform. Find out how you can get exclusive, member-only access today with this deal.

SPX, iShares NASDAQ Biotechnology Index Fund NASDAQ:IBB - Stock Volatility Sticks As Biotech, Commodities Selling Taints Broader Market

An early Tuesday stock market bounce was taking shape but action could remain volatile as Wall Street posted its lowest close since late August in Monday’s bruising session. Continued declines for biotech shares and a fresh injection of Chinese-linked economic jitters were pinned for Monday’s slide, raising some doubts that the Federal Reserve’s restrained confidence in U.S. growth goes far enough.

The reaction was global; Japan’s Nikkei is now negative for the year.

Investors are closely monitoring economic data for signs that U.S. growth is as strong as Federal Reserve powers believe it is. The Fed passed on an interest rate hike in September but said transitory factors shouldn’t keep it from removing ultra-loose monetary policy in coming months. Investors want to see data that backs that guarded confidence. Some investors are nervous that sub-surface economic cracks—triggered by China’s slowdown and continued selling in commodities—could be deeper than thought.

Due out mid-morning, a reading on September...


More