Market Report: Stocks Drop As Investors Fear Shutdown

3 years 4 months 3 weeks ago September 29, 2013 Sep 29, 2013 Sunday, September 29 2013 Sunday, September 29, 2013 2:52:00 PM CDT in News
By: William Joy, KOMU 8 Reporter
Embed Code Copied

COLUMBIA - Major indexes finished down this week as wall street showed fear of a government shutdown.

The Dow Jones Industrial Average finished the week down 192 points to close at 15,258.24, down 1.25 percent because of drops in cisco and big local employer, IBM. The NASDAQ managed to finish up to 3,781.59 because of a strong earnings report from Nike, but the index only managed a .18 percent gain for the week, and the S&P 500 closed down for the first week this month to finish at 1,691.75, a 1.06 percent loss.

Blackberry and JC Penny were the big losers this week. JCP shares fell sharply after the company denied that it was short of money, but then issued $1 billion of new shares reportedly just to raise enough cash to make it through the holidays, and the mobile phone maker had equally depressing news. It turns out no one is buying Blackberries, T-Mobile is going to stop stocking them and the company lost $1 billion last quarter.

Economic reports released this week weren't too promising.

Consumer Sentiment, which is a survey of what people think of the health of the economy, slipped to 77.5 in September, down from 82.1 in August, which is the lowest final reading since April.

Housing prices have gone up a little more than 12 percent from July 2012-2013 according the S&P/Case-Shiller 20-City index, and they're up almost 2 percent from June to July, which is good news. According to Zillow, Columbia housing prices are up 7.4 percent from last year. The bad news is that more cities are seeing slowing gains each month. More people are selling homes, but fewer people are buying, which means housing prices are basically flat-lining.

The big reports this week are all about the employment situation and manufacturing orders, but the main thing to watch is if government runs out of money and shuts down if a bill isn't passed by Monday at midnight.

A government shutdown means roughly one million government workers are put on furlough, which means non-essential departments like national parks and zoos are closed as well as the Securities and Exchange Commission and Center for Disease Control, but you'll still be able to fly because Air Traffic Controllers will still work, get mail from the US Postal Service, and servicemen still get paid.

A key factor in the shutdown is the Affordable Care Act, but President Obama says he'll veto any bill that stops the program from starting on October 1.

The shutdown isn't as important as the debt-ceiling deadline of October 17th. The government shutdown keeps the government from making any new spending commitments, but the debt limit keeps them from paying previous commitments. If it's not raised, the US will default on some payment obligations which could severely cripple the national and world economy.

 

More News

Grid
List
COLUMBIA - When the FBI arrested terror suspect Robert Lorezo Hester, his friend and neighbor Analee Shatlain said she was... More >>
5 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 10:06:00 PM CST in News
COLUMBIA - Some people on the front lines of drug abuse prevention and rehabilitation have suggestions for parents on how... More >>
5 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 9:32:43 PM CST in News
JEFFERSON CITY (AP) — Vice President Mike Pence has planned to visit Missouri Wednesday to tour an equipment and engine... More >>
7 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 7:16:00 PM CST in News
ST. LOUIS (AP) — The wife and stepson of the leader of a Ku Klux Klan group who was found... More >>
8 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 6:17:41 PM CST in News
COLUMBIA (AP) — Democrats are asking Missouri Gov. Eric Greitens to allow an expansion of family leave options for employees... More >>
9 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 5:39:34 PM CST in News
COLUMBIA - The Columbia City Council rolled out an overhaul of city development and housing rules Monday. The city... More >>
10 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 4:58:00 PM CST in News
JEFFERSON CITY (AP) — Missouri lawmakers are considering proposals to update state driver's licensing procedures to comply with federal law.... More >>
10 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 4:41:00 PM CST in News
COLUMBIA – Emotions were high as people told gut wrenching stories about how they are affected by the Affordable Care... More >>
11 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 3:54:00 PM CST in News
JEFFERSON CITY – Gender accessibility has become a controversial topic on a national level, and a bill presented at a... More >>
12 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 2:50:00 PM CST in News
COLUMBIA- The University of Missouri System is looking for a chancellor with "a collaborative and transparent leadership style" who is... More >>
12 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 2:38:00 PM CST in News
COLUMBIA - Promoting residents to interact closely with the police is the main step for city staff to build a... More >>
12 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 2:31:00 PM CST in News
JEFFERSON CITY - A Columbia man has been charged in federal court on accusations that he played a role in... More >>
12 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 2:13:00 PM CST in News
COLUMBIA - The Columbia Fire Department was dispatched to a gas leak at Bouchelle Avenue and College Avenue Tuesday afternoon.... More >>
14 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 12:51:00 PM CST in News
JOPLIN, Mo. (AP) — A Joplin man alleged that police used excessive force in his 2015 arrest. The Joplin... More >>
17 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 9:53:00 AM CST in News
KANSAS CITY (AP) — Authorities say two teenage cousins have died in a Kansas City crash. The Kansas City... More >>
18 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 8:43:52 AM CST in News
ST. LOUIS (AP) — A 14-year-old boy is recovering from non-life-threatening injuries after being hit by a train in suburban... More >>
19 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 7:33:09 AM CST in News
UNIVERSITY CITY (AP) — Authorities in Missouri are investigating after dozens of headstones were damaged at a Jewish cemetery near... More >>
22 hours ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 4:39:00 AM CST in News
COLUMBIA - As the warm weather approaches, the number of unwanted litters increases, putting a burden on local shelters. ... More >>
1 day ago February 21, 2017 Feb 21, 2017 Tuesday, February 21 2017 Tuesday, February 21, 2017 2:30:00 AM CST in Top Stories
Columbia, MO
Broken Clouds 48°
4am 48°
5am 48°
6am 48°
7am 52°

Select a station to view its upcoming schedule:

Coming Up Next

3:00a
Mad Money
4:00a
Early Today
4:30a
KOMU 8 News Today
3:00a
Paid Program
3:30a
Paid Program
4:00a
Paid Program

Tonight's Schedule

7:00p
Blindspot
8:00p
Law & Order: Special Victims Unit
9:00p
Chicago P.D.
7:00p
Arrow
8:00p
The 100
9:00p
KOMU 8 News @ Nine on The CW
9:30p
Seinfeld