After running flat for most of the day, the Dow Jones Industrial Average
Consumer credit numbers for July, which came out at 3 p.m. ET, showed a monthly decline for the first time in nearly a year, considered a negative short-term signal for the economy. Total borrowing slowed by $3.3 billion, but the market had been expecting a $10 billion increase. Countering that effect was the Federal Reserve's revision of June borrowing figures up by $3.3 billion to $9.8 billion.
Also adding to the market pessimism was a report that showed China's imports unexpectedly shrinking in August by 2.6%, a bad sign for its many trading partners, which have come to depend on its huge appetite for the commodities that have fueled its voracious growth. Analysts now believe China's GDP growth, which slowed to 7.6% in the latest quarter, will rebound late this year or early next year. China's president also cautioned that growth could further slow.
Looking at individual stocks, Intel
Bank of America
No Dow stock gained more than 1% today, and looking ahead to the rest of the week, market watchers will want to look out for the Federal Reserve's interest-rate decision and any potential announcement on additional stimulus on Thursday. The central bank's decision is much anticipated after last week's disappointing employment report. Economists expect the Fed to keep the benchmark rate at 0.25%.
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