U.S. stocks declined today due to weak consumer spending, Consumer spending expanded 1.5 percent, the slowest pace since the second quarter of 2011. It grew 1.8 percent in the April-June period. The reason consumer spending makes such a strong impact on the economy is because consumer spending makes up 70% of U.S. economy, so when it’s declining it shows the health of the economy is in dire situation.
U.S. economy expanded 2.8% which exceeded investors expectation, and passed last quarters expansion when it increased by 2.5%. This positive economic news has investors on the edge because it shows the U.S. economy is expanding and possibly might not need the $85 Billion stimulus. Which is revealing that investors aren’t confident that the economy will be able to stand on its own feet.
Congrats to Twitter trading in the NYSE! Its initial public offering was priced $26 a share. The stock opened at $45.10 a share, and closed the day up 73% to $44.90. Twitter listed on the NYSE under symbol ‘TWTR.’
Jobless claims decreased by 9,000 to 336,000 in the week ended Nov. 2 from 345,000 the prior period, the Labor Department reported today.
Tomorrow the monthly employment report will be released.