Page 25 - ARUBA TODAY

BUSINESS Tuesday 31 OcTOber 2017
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Stocks around the world take a pause ahead of frenetic week

show that the economy is The central bank has
strengthening and nego- played a pivotal role in the
tiations continued in Wash- economy’s recovery from
ington to cut income-tax the Great Recession and
rates. the stock market’s leap to
Amid the many cross cur- record after record.
rents, the Standard & Poor’s Jerome “Jay” Powell, a
500 index fell 8.24 points, member of the Federal
or 0.3 percent, to 2,572.83 Reserve’s board, is Trump’s
from its record set on Friday. leading candidate to re-
Losses for health care place Janet Yellen as the
stocks, telecoms and other head of the nation’s central
areas of the market over- bank, with an announce-
shadowed gains for tech- ment planned for Thursday,
nology companies and en- according to senior admin-
ergy producers. istration officials.
The Dow Jones industrial Low interest rates have
average fell 85.45, or 0.4 helped to push returns high-
percent, to 23,348.74, and er for bond funds, stocks
the Nasdaq composite and all kinds of other invest-
dropped 2.30, or less than ments around the world.
0.1 percent, to 6,698.96. But pressure may be ris-
Trader Jonathan Corpina, left, and specialist Dilip Patel work on the floor of the New York Stock Smaller stocks fell more ing for the Fed to increase
Exchange, Thursday, Oct. 26, 2017. Stocks are opening higher on Wall Street led by technology than the rest of the market, rates more quickly.
companies and banks as the market regains most of the previous day’s losses. and the small-cap Russell A report on Monday
(AP Photo/Richard Drew) 2000 index lost 17.42, or 1.2 showed that U.S. consum-
By STAN CHOE kets. decide on interest rates, percent, to 1,490.90. er-spending growth accel-
AP Business Writer Investors are waiting to and whether Apple and Investors expect President erated last month, led by a
NEW YORK (AP) — Stocks learn who the next head of other big U.S. companies Donald Trump to announce pickup in auto sales. It’s the
retreated from their record the Federal Reserve will be, can keep piling their prof- his choice for the next chair latest piece of evidence
highs on Monday, ahead what several of the world’s its higher. In the mean- of the Federal Reserve by that the economy is pick-
of a frenetic week for mar- biggest central banks will time, reports continued to the end of the week. ing up momentum.q

US consumer spending surged 1 percent in September

By M. CRUTSINGER a tiny 0.1 percent gain in it accounts for 70 percent rate in the July-September services such as utility pay-
AP Economics Writer August and was the best of economic activity. The quarter, despite the devas- ments was also strong.
WASHINGTON (AP) — showing since an increase latest result suggests that tation from two hurricanes. Consumer confidence
Consumers boosted their of 1.3 percent in August Americans were feeling in- The big spending surge in has been bolstered by a
spending by 1 percent in 2009, the Commerce De- creasingly confident about September was led by a Wall Street rally, which has
September, the biggest partment reported Mon- the economy heading into 14.7 percent increase in pushed stocks to new highs.
gain in eight years. The day. the final quarter of the year. spending for new motor Economists expect even
surge was fueled by robust Income growth was also That should support solid vehicles, as drivers began stronger spending next year
demand across sectors, es- solid in September, rising by growth in the fourth quar- replacing the estimated if Republicans are able to
pecially autos in the wake 0.4 percent as wages and ter. The overall economy, more than 300,000 vehicles push their tax cut package
of recent hurricanes. salaries climbed. as measured by the gross destroyed in the hurricanes. through Congress, and the
The sharp jump in consum- Consumer spending is domestic product, grew Spending on nondurable cuts are made retroactive
er spending was up from closely monitored because at a solid 3 percent annual goods such as clothing and to the start of 2018. q