U.S. Longest Government Shutdown in History Ends

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Main Content:

1.    Major indexes weekly performance 

2.    U.S stocks weekly wrap 

3.    S&P 500 sector index weekly/month performance 

4.    China/Hong Kong stocks weekly wrap 

5.    Singapore stocks weekly wrap 

6.    Major indexes weekly chart and technical support & resistance levels

U.S.

For the week of Nov 14, major U.S. stock indexes finished mixed, as the Dow Jones Industrial Average(DJI) and S&P 500 Index(SPX) posted modest gains while the Nasdaq Composite(COMP) index lost ground. Concerns regarding elevated valuations and increased scrutiny around artificial intelligence (AI) spending seemed to help drive a rotation away from many of the growth-oriented stocks that have helped propel indexes to recent all-time highs. However, a volatile trading session on Friday with limited major headlines led to some indexes recovering their losses and closing the week higher.

In more positive news, the longest U.S. government shutdown on record(43 days) came to an end on Wednesday night after President Donald Trump signed a spending bill that will keep the government funded through January 30. Refer to below major indexes weekly performance.

Key highlights for the week and next:

1.    The 43-day U.S. shutdown concluded with a funding bill extending operations through January 30, 2026. Federal workers will receive backpay, and critical programs like SNAP are restored. 

2.    The shutdown is estimated to reduce fourth-quarter 2025 economic growth by 1.5 percentage points, lowering projections to 1.0%-1.5%. Nonetheless, we expect a gradual recovery in the first quarter and through 2026.

3.    December rate cut odds decline amid cautious Fed commentary. The probability of a rate cut following the Fed’s December meeting declined to around 46% as of Friday afternoon, down from about 67% the prior Friday and close to 95% a month ago, according to the CME FedWatch tool. 

SPX sectors in play

Four out of 11 SPX sectors recorded weekly gains. Health Care(XLV) and Energy(XLE) stocks led the gains while growth stocks continued to underperform, including Technology(XLK), Communication Sevices(XLC) and Consumer Discretionary(XLY). Refer to below SPX sectors ETF weekly performance table.

Indexes technical levels

All the three major indexes weekly candlesticks were largely within its previous weekly trading range. Both SPX and Nasdaq indexes tested 50dma and rebounded, 2^nd time respectively for the past two weeks, while DJI index appears more resilient, stays around its 20dma. Click below three indexes for their weekly charts.

DJI weekly chart

SPX weekly chart

Nasdaq weekly chart

China/HK

Mainland China stock markets retreated as investors pocketed gains a week after the leading domestic benchmark rose to its highest level in almost four years. The Shanghai Composite Index(SSE) shed 0.18% and the blue-chip CSI 300 fell 1.08%. In Hong Kong, the benchmark Hang Seng Index added 1.26%.

Key highlights for the week and outlook for China/HK:

1.    Alibaba(BABA): According to WSJ report, Alibaba Group denied a report that said it provides tech support for the Chinese military to target the U.S. The Financial Times reported Friday that it viewed a White House national security memo that includes declassified intelligence on how Alibaba supplies the People's Liberation Army with capabilities that could threaten U.S. security. The Financial Times said in its report that it couldn't independently verify the claims. American depositary shares of Alibaba closed down 3.8% at $153.80 on Friday.

2.    The latest batch of official indicators showed that China’s economy lost steam as it entered the fourth quarter. Fixed asset investment shrank 1.7% in the first 10 months of the year, a record drop for the period, according to China’s statistics bureau. Industrial production rose a weaker-than-expected 4.9% in October from a year ago, while retail sales rose 2.9%, the fifth straight month of slower growth. 

3.    China’s housing market, now in its fourth year of a slump, remained under pressure. New home prices in 70 cities, excluding state-subsidized housing, fell 0.45% in October from September, the steepest decline in a year, while existing home values fell 0.66%, the biggest drop in 13 months, Bloomberg reported. The ongoing malaise in China’s property market has been a major growth headwind, making consumers reluctant to spend and worsening the deflation that has stalked China’s economy since early 2023. 

4.    While the data showed that China’s economy weakened more than expected in October, most economists believe that Beijing’s official growth target of about 5% this year is still manageable, particularly after the U.S. and China struck a one-year trade truce at talks in South Korea last month. Moreover, the central government has approved stimulus totaling RMB 1 trillion since the end of September to bolster capital expenditure, and economists believe the effects of the stimulus should start to materialize in the near term.

Refer to below Hang Seng Index stocks’ weekly performance table.

Click below for SSE and .HSI weekly chart.

SSE weekly chart

.HSI weekly chart

 

Singapore

The Straits Times Index (STI) added 1.2% to close at 4546.07 this week, the STI index hit new record at its 4^th week consecutive gains. JMH, SingTel and OCBC are among the top gainers for the week. Refer to below STI index stocks’ weekly performance.

Click below for STI weekly chart.

STI weekly chart

Source: Some contents and data excerpted from various public market reports. Please comment to claim copyright ownership of any material, and I will remove it if necessary.