Dow sank 288, decliners over advancers 2-1 & NAZ dropped 217.  The MLP index slid back 1 to the 242s & the REIT index was off 1+ to the 364s.  Junk bond funds fluctuated & Treasuries saw selling which raised yields.  Oil gained 1 to 91 & gold added 12 to 1945 (more on both below).

AMJ (Alerian MLP Index tracking fund)

Unprecedented strike threatens to shred already-fragile US economy

Oil just hit its highest level of the year — and some analysts expect a return to $100 before 2024

Consumer confidence in the US experienced a setback in Sep, as the recent surge in inflation data for Aug, which exceeded expectations, dampened the previously positive household morale.  Preliminary estimates from the University of Michigan reveal that consumer sentiment fell from 69.5 in Aug to 67.7 in Sep, missing expectations that were set at 69.1.  Despite the decline in consumer sentiment, the gauge remains above the 6-month moving average, which stands at 64.62, showcasing a resilient optimistic outlook among US households.  In terms of consumer expectations, the gauge came in at 66.3 for Sep, slightly up from the previous month’s reading of 65.5 & topped expectations of 66.  Additionally, the subindex measuring current conditions saw a notable drop from 75.7 in Aug to 69.8 in Sep, missing expectations set at 75.3.  Expectations for inflation over the next year fell sharply from 3.5% to 3.1%.  Looking further ahead, the 5-year inflation outlook is at 2.7%, indicating a belief among consumers that inflationary pressures might be more transitory in nature.  “Sentiment this month was characterized by divergent movements across index components and across demographic groups with little net change from last month. Notably, though, both short-run and long-run expectations for economic conditions improved modestly this month, though on net consumers remain relatively tentative about the trajectory of the economy,” Surveys of Consumers Director Joanne Hsu said.

US Consumer Sentiment Drops In September, Inflation Expectations fall sharply

Gold futures finished higher to eke out a gain for the week, finding support from a pullback in the $ after a recent drop in the metal's price to a 3-week low.  This week's batch of US inflation reports were seen by some as not alarming enough to force more immediate action from the Federal Reserve.  Gold futures for Dec gained $13 (0.7%) to settle at $1946 per ounce, with prices for the most-active contract up 0.2% for the week.  Gold is still able to trade above $1900 despite the continuation of central bank hikes & the expectation of those rates staying higher for longer.  That illustrates how strong the support was for the safe haven asset earlier in the year, with market confidence only creeping back into investors' approach.

Gold Prices End Higher to Eke out a Gain for the Week

Oil prices finished higher, with US benchmark crude marking another finish at their highest since Nov & posting a 3rd straight weekly gain.  Warnings by the Intl Energy Agency & the Organization of the Petroleum Exporting Countries of a potential market deficit, have contributed to the rise in oil prices.  Although crude prices may be ripe for a technical pullback over the short term, oil benchmarks may yet take further strides towards the psychologically-important $100 level, provided that global supply-demand dynamics truly warrant prices moving even higher.  Oct West Texas Intermediate crude rose (61¢) 0.7% to settle at $90.77 a barrel.  That's the highest front-month contract finish since Nov 7, with prices ending the week 3.7% higher.

U.S. Oil Futures End at the Highest Since November, Up a third straight week

Dow Jones Industrials