Stocks fell over the week on increasing concerns about protectionist trade policies. The S&P 500 dropped 0.5% and the Dow eased 1.1%. Internationally, Europe edged down 0.3%, but Japan rose 1.0%. The yield on the 10-year Treasury bond was flat for the week, staying at 3.06%. Oil rose 3.4% to finish the month at $73.25 a barrel. Global oil prices reached a four year high on concerns that sanctions against Iran and Venezuela production problems will drive supply shortages. Article
Home price gains eased for the fourth straight month in July according to the S&P Case Shiller price index with prices up 6% over the past year compared to 6.2% in June.
Consumer confidence reached the highest level in 18 years in September.
The Trump administration’s top trade negotiator warned Canada could be excluded from a trade agreement with Mexico due to lack of progress.
The Fed made the widely expected move of increasing the Fed Funds rate a quarter percentage point to a range of 2%-2.25%. They said they expected to raise its rate a quarter percent one more time this year and then a total of 1% over 2019. Article
Consumer spending rose 0.3% in August from July. It was the smallest gain since February.
Concerns about Italy’s rising budget deficit weighed on European stocks as investors believe the current position to be unsustainable.
Michael Kors bought Versace for $2.1 billion. Article
Barrick Gold agreed to purchase Randgold Resources for $6 billion to solidify its place as the world’s largest gold miner.
Sirius agreed to buy Pandora for $3 billion.