While stocks eventually rallied their way past flagging market momentum on Monday, the bears are out again this Tuesday, with most major indexes down at the time of this writing. It was a quieter news day on the macro front, with investors taking profits on a lower-news session. The market continues to await word on tax reform.
Downward momentum from last week’s session looks to have carried forward into this week’s trading. Major indexes were down sharply to start Monday. They have been clawing their way back toward neutral as the day progresses, but markets remain broadly down at the time of this writing. Positive deal-making in the consumer goods sector was not enough to overcome stalled industrials, as investors continue to await the outcome of US tax reform legislation.
Downward momentum from yesterday’s session continued into today. Macro news was relatively quiet, though the University of Michigan released new consumer sentiment data showing a slight downtick in confidence. Analysts believe lagging market performance may be a reaction to political wrangling over US tax reform.
Stocks are taking a tumble so far on Thursday. Investors are disappointed with the prospects for significant US tax reform and taking profits after several weeks of mostly positive trading.
After stalling this morning as yesterday’s profit taking continued, the market appears to have regained steam at the time of this writing. Strong performance in the tech sector is offsetting weaker performances among banking stocks.