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October Monthly Recap

October Monthly Recap

November 01, 2021
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October market recap 

Markets climb despite slow economic estimates 

October market review

The major domestic equity indices climbed steadily through October, a confident step forward from September’s stumble even as supply issues created intermittent voids on supermarket shelves and broad patches of uncovered tarmac at car dealerships.

Even the release of a low gross domestic product (GDP) growth estimate at the end of the month did not blunt the markets’ upward march. The S&P 500 and Dow Jones Industrial Average both set new record highs, and the NASDAQ Composite was not far behind.

As COVID-19 cases decline, however, we believe economic growth should pick back up. The demand for goods increased throughout the pandemic and, counter to expectations, has remained strong, amplifying supply issues.


  • Strong corporate earnings reports set the stage for the October rebound.
  • Supply chain disruptions caused by the delta variant and a tight labor market continue to cause issues for the broader economy, particularly in the automotive sector.
  • Much of the pandemic-related inflation has been reduced, but it remains unclear if the current inflation level is temporary or will continue into the long term.

Unequivocally, October was a strong month for domestic equities, reflecting generally improving conditions and confidence as we deal with the long and winding tail of the COVID-19 pandemic. Obstacles are always present, but thoughtful investors take inventory, challenge their assumptions and continue to plan out their next move.

As always, [I/we] will keep you up to date with news and events important to your investments and financial plan. This has been an abridged version of [my/our] monthly market recap. If you’re interested in more detail, you can view the whole piece on [my/our] blog at []. 

If you have any questions about this market recap, or anything else, please reach out at your earliest convenience.

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Investing involves risk, and investors may incur a profit or a loss. All expressions of opinion reflect the judgment of the authors and are subject to change. There is no assurance the trends mentioned will continue or that the forecasts discussed will be realized. Past performance may not be indicative of future results. Economic and market conditions are subject to change. The Consumer Price Index is a measure of inflation compiled by the U.S. Bureau of Labor Studies. The NASDAQ Composite Index is an unmanaged index of all common stocks listed on the NASDAQ National Stock Market. The S&P 500 is an unmanaged index of 500 widely held stocks. An investment cannot be made in these indexes. The performance mentioned does not include fees and charges, which would reduce an investor’s returns.

Material prepared by Raymond James for use by its advisors.