U.S. Shutdown Hits Dollar, Nudges Global Markets
U.S. Shutdown Hits Dollar, Nudges Global Markets (Reuters)
The U.S. government couldn’t come to a last-minute emergency funding agreement before the midnight deadline last night, meaning nearly a million federal employees will not be reporting to work today. Investment-wise, the biggest loser from the first government shutdown in 17 years was the U.S. dollar. The buck dropped to an eight-month low against the euro and a year-and-a-half low against the Swiss franc. The Dow, S&P 500 and Nasdaq all finished lower in yesterday’s trading session, yet none of the indexes lost more than a percent. Conversely, global markets were up, but they also lacked any dramatic movers. Investor consensus seems to be that as long as the shutdown is temporary, they can weather this storm. Here’s hoping they’re right.