Market Update
Stocks declined for the third straight month in October. The Nasdaq and the S&P 500 endured their worst October since 2018. The S&P 500, down for three straight months, had its worst three-month performance since the period ended in June 2022. The Nasdaq also had its worst October since 2018, down about 11.0% over the past three months, marking its poorest three-month performance since the August-October period in 2022. This was not a good month for the Dow, which suffered its worst October since 2020.
The economy has proven resilient despite the threat of a government shutdown, an autoworkers strike, the ongoing war in Ukraine, and the Israel-Hamas conflict. Consumer spending, which makes up about 70.0% of the economy, rose, with increased spending in durable goods, nondurable goods, and services. However, that trend may not last, as consumers may have to tighten their purse strings in light of high interest rates, while the resumption of student loan payments and dwindling pandemic-era savings might eat into their budgets.
International Markets
The war in Ukraine has weighed on European economies. The Russia-Ukraine war pushed energy and food prices higher at the outset of Russia's invasion, weakening household spending. On the other hand, consumer prices eased in October, with core prices (excluding food and energy) dipping from 4.5% in September to 4.2% in October. In addition, prices rose 2.9% for the year ended in October, the lowest 12-month rate of inflation since the period ended July 2021. All of which prompted the European Central Bank to maintain interest rates at their current levels for the first time in the last 11 meetings. For October, the STOXX Europe 600 Index decreased 1.8%; the United Kingdom's FTSE 100 fell 1.90%; Japan's Nikkei 225 Index dropped 1.2%; and China's Shanghai Composite Index lost 3.0%.
On A Personal Note
Jeff and Peggy went to Crested Butte, Colorado to visit their son, Braden. They had very lucky timing as the Aspen trees were peak fall color. Drew and his wife spent most of October watching soccer games. Now onto basketball games (and club soccer)! Chris's daughter and her soccer team painted and decorated pink pumpkins to be auctioned off for breast cancer awareness and to benefit research. Lisa had a busy October with something going on every weekend. She hosted a birthday party for her mother-in-law, went to Nashville, TN to visit her brother, had a family friend’s wedding, and attended a concert at Taft Theatre. Sam celebrated his birthday in October, enjoying a few nice meals with family and friends. He is sad to see golf season coming to a close and picked up his newest hobby to get him through the winter, pickleball. Taylor and her husband went on a trip to Maine and Vermont at the end of October. They did some hiking in Acadia National Park and then visited some towns along the coast. Their final stop was Woodstock, Vermont and it ended up being one of their favorite places they have been! It was a great trip to get outdoors and do some exploring.
"Not So Silent Night" Cancer Free Kids Charity Event
On Friday December 1st, MDM will be hosting a “Not So Silent Night” charity event at the Redmoor in Mount Lookout Square from 7-11PM. We are not charging admission for this exciting evening, so please invite your friends and family. The agenda will include a visit from Santa Claus, crafts for kids, a live band, dinner, drinks, and a fabulous silent auction. If you have any specific requests for silent auction items or have items you would like to donate (for example: event tickets, memorabilia, rare bottles of bourbon and wine, or vacation rentals) to benefit this worthy cause, we would love to discuss it with you, and there may even be a tax benefit for you.
If you would like to attend, please email Lisa at lwillhoite@janney.com or give us a call at 513-914-2320.
