Stocks Face Volatility After Fed Decision; September Usually Weak for Market

This week after September options expiration is typically the worst for the S&P 500, though not guaranteed.
On Friday, indexes fell sharply on higher volume and negative breadth, pushing below 50-day moving averages.
Focus this week will be reaction to Fed interest rate decision on Wednesday.
Economic debate intensifying on whether economy may slow due to rate hikes.
Trading conditions not good for positions right now, volatility expected, patience advised.

thestreet.com

Relevant topic timeline:

8/28/2023

Trouble brewing? The pointers for a stock market crash and recession

Stockbrokers who traditionally sell their positions in May and return on St Ledger's Day in September may be in for trouble this year, as indicators such as the copper-gold ratio and predictions from investors like Michael Burry suggest a potential market crash and recession.

8/30/2023

Stock market may face a stormy September. What investors need to know about Wall Street's worst month.

September historically has been the worst performing month for the U.S. stock market, and with the recent decline in August, investors should prepare for further volatility and potentially disappointing results in September.

8/31/2023

Evercore: A 'Wall of Worry' is threatening to send the economy into a recession. Here are the 3 warning signs to watch, and where to invest as the worst month for stocks begins.

September is historically the worst month for stocks, and with mounting fears in the market, Evercore's Julian Emanuel advises investors to remain defensive until a potential buying opportunity arises in October.

9/11/2023

September Stock Volatility Ahead, But Some Cautious Optimism for Investors

September historically has been a challenging month for stocks, but reduced concerns about a recession, signs of a potential shift in Fed policy, and positive sector trends point to the possibility of strategic investment opportunities this year.

9/14/2023

Zero-Day Options Trading Skyrockets as Retail and Institutions Flock to High-Risk, High-Reward Bets

Zero-day to expiry options, or "0DTEs," have become popular among retail and institutional traders, with activity in the market hitting record highs, accounting for a significant portion of average daily trading volume in options tied to the S&P 500; however, there are concerns about the potential risks and impact on stock-market stability that these options pose.

9/15/2023

Record $3.4 Trillion in Stock Options Expiring Friday Could Mean Volatility for Stocks and Bitcoin

Stock options worth $3.4 trillion are set to expire on Friday, potentially leading to increased volatility and price declines in both the S&P 500 and Bitcoin, with September historically being a negative month for these assets. There is also a possibility of a surprise interest rate hike by the Federal Reserve, which could impact risk assets.