The investment community did not get the Monday/Tuesday reversal that has become somewhat commonplace in 2015. Indeed, yesterday’s losing session was followed up by another bearish day on Wall Street. Right now there is not much in the way of positive news to get investors excited about stocks.
The manufacturing sector slowed its rate of growth in July, with its closely watched survey securing a score of 52.7. Now, while that result was clearly in expansionary territory, as the survey exceeded the dividing line between a contracting and a growing industrial sector of 50.0, the outcome was disappointing, as it fell shy of the 53.5 reading tallied in June and expectations for July of 53.5.
Although the year has been notable for the major indexes hitting new all-time nominal highs, stocks have had a tough time staying in positive territory. Among the factors making up this year’s “wall of worry” have been low oil prices, debt woes in Greece, and the Federal Reserve’s imminent first step toward monetary tightening. As it pertains to the Dow Jones Industrial Averages, a 2.5% dip in June landed the index 1.3 percentage points in the red for the year to date. Meanwhile, the Dogs of the Dow have largely underperformed, beating their benchmark index in only two out of six months in the first half. June marked a second-consecutive month of losses for the mutts. But, on the whole, they were not trailing by an exceedingly wide margin at the half.