After two sessions posting new record highs, the S&P500 paused its upward journey yesterday on a day when the absence of relevant news left investors waiting for further developments in the trade war soap opera. But if the final record was off little change in the three main Wall Street indices, some sectors were more volatile, such as real estate and utilities, with both losing more than -1% in a clear reduction of safe heavens in portfolios.
Data coming out for ISM services on Tuesday also helped maintain the optimism level, as it improved slightly to 54.7 from 52.6 September, thus indicating an expansion and continued relative strength vis-à-vis the manufacturing sector, which is in contraction territory below 50. In the foreign exchange market, the US dollar gained 0.2% again pushing the Euro to $1.107 and thus validating a daily double-top pattern on the major currency pair and giving some technical foundation for a little more correction in the EUR/USD.
