The S&P 500 has fallen for the 4th day in a row after rising 5 days in a row following the announcement that the Fed will not taper asset purchases. This market boomed after the Fed announcement but has since retreated following comments from Fed officials about lower growth outlooks and risks stemming from the debt ceiling debate in Washington. Republicans want to defund Obamacare in order to raise the debt ceiling, which has been causing some controversy. Still the majority of Americans in many polls want Obamacare. The US government will run out of money by mid-October if the bill to raise the debt ceiling is not passed.
Political risks aside, the stock market has jumped to new highs on stronger economic data and corporate profits. In fact, consumer confidence has risen, new home sales are increasing, and durable goods orders are remaining steady.