The marathon political fight in the nation's capital over the federal budget and the health care law has left Wall Street very unsettled, and investors essentially retreated on Monday, prior to the partial government shutdown. The Dow Jones industrial average fell 128.57 points, or 0.8 percent, to close at 15,129.67. The Standard & Poor's 500 slid 10.20 points, or 0.6 percent, to 1,681.55 and the Nasdaq composite dropped 10.12 points, or 0.3 percent, to 3,771.48. Based on futures trading, Wall Street looks set for some recovery at this morning's opening.
- Japanese stocks rose today after a business survey showed mounting confidence among the country's powerhouse manufacturers but gains were tempered by the U.S. government funding impasse. Except for South Korea, other Asian markets finished lower. Markets in mainland China and Hong Kong were closed for public holidays. European stocks were mixed in early trading. Benchmark crude oil fell below $103 per barrel. The dollar fell against the euro and the yen.
- Among the indicators and reports due Tuesday, the Institute for Supply Management releases its manufacturing index for September and the Commerce Department releases construction spending for August. In Congress, the Senate Banking, Housing and Urban Affairs Committee has a hearing on housing finance reform and in Detroit, automakers release vehicle sales for September.
- The European Commission's top antitrust official says Google would allow competitors to display their own logos on its search display results page as part of concessions it has offered to avoid a showdown with regulators. Joaquin Almunia told the European Parliament today that Google's concessions will be tested to see how they would work in the market. Only then will the Commission decide whether to accept them.
- Official figures show that unemployment across the 17 European Union countries that use the euro held steady in August, in another sign that the eurozone economy is stabilizing following its longest-ever recession. Eurostat, the EU's statistics office, says that unemployment was unchanged at 12 percent in August from the previous month. In total, the number of unemployed fell by a modest 5,000 to 19.18 million.