Carl Van Horn, director of the Center for Workforce Development at Rutgers University, says the weak housing market and lack of demand for building materials is a big problem. Federal spending cuts could also weigh on the economy. [Range-Bound S&P 500 ETFs Fall to 50-Day Average.]
As the nation waits for approval on a package to raise the debt ceiling, the broad market appears stagnant and investors are ultimately waiting for resolution on this key issue before investing in equities.
“This is going to be a political issue. Both of the sides feel as if they have a great deal to lose, but we all feel as thought there is going to be a deal. Look at the market, the S&P is down nothing. There’s going to be a deal,” said Mike Shea, a managing partner and trader at Direct Access Partners LLC, Reuters reports.
SPDR S&P 500
Tisha Guerrero contributed to this article.