Washington Inches Toward Resolution on Debt Ceiling, and the Bulls Celebrate
Today's financial recap and tomorrow's financial outlook.
The US will hit a deadline to increase the debt ceiling next Thursday. However, Wall Street is increasingly viewing a resolution as inevitable, with at least a short-term fix to keep the government open on the way. The White House and House Republicans are engaged in active talks and at day's end, the White House announced that both sides have taken a default off the table.
The bullish movement on Friday put the market up about 3% above Wednesday's intraday low, and within striking distance of all-time highs.
Nonetheless, there were still some standouts in the sector, namely the capital-markets-focused Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS), and Deutche Bank (NYSE:DB).
Homebuilders also stood out on Friday, with the SPDR S&P Homebuilders ETF (NYSEARCA:XHB) trading up 1.7% after an analyst upgrade of key sector names Lennar (NYSE:LEN) and KB Home (NYSE:KBH).
Monday's Financial Outlook
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