October 07, 2013- Political Impass Hits Investor Sentiment

With lawmakers on either side of the fence not willing to compromise, the political impasse in the U.S. drags on. The predicament has severely dented investor confidence, as reflected by the trading in the U.S. index futures, which point to a notably lower opening on Monday. Amid the lack of any major trading catalysts, either in the form of economic data or corporate news, traders are most likely to shun risky assets such as equities until more clarity emerges on the roadmap for a political resolution for the budgetary crisis and the U.S. debt ceiling. The Dow futures are plunging 124 points, the S&P 500 futures are moving down 15.40 points and the Nasdaq 100 futures are declining 25.75 points. U.S. stocks went about in a volatile manner in the week ended October 4th, as traders digested the U.S. government shutdown and also remained concerned about the debt-ceiling deadline. A few key economic reports, including the monthly non-farm payrolls report, was delayed due to the government shutdown.