Strong earnings provided a ballast to beaten-down markets the last two days, and industry bellwethers Coca-Cola, Johnson & Johnson and Verizon gave investors reason to focus on the fundamentals. All three companies topped market expectations, converging with sentiment that’s driving the rally in a market that has seen very little downside in recent months.
According to the Congressional Budget Office the U.S. Treasury Department is projected to exhaust its borrowing authority in October or November, as a fight between Democrats and Republicans over raising the nation's debt ceiling erupted in Congress. A failure to work out differences over whether government spending cuts should accompany an increase in the statutory debt limit, currently set at $28.5 trillion, could lead to a federal government shutdown - as has happened three times in the past decade.
Nike could run out of sneakers made in Vietnam due to a halt in production at multiple suppliers as the coronavirus pandemic worsens globally. The report comes just after Nike’s suppliers in Vietnam, recently stopped production due to rapidly growing COVID-19 infections in the region. Nike said that contract factories in Vietnam make up roughly 50% of total Nike branded footwear.