Equities were soft this week with the S&P 500 losing 0.7%. The broad index fared better than both domestic small caps and emerging markets which were down 1.1% and 1.5% respectively.
The big news this week was the drone attack on the Abqaiq oil facility in Saudi Arabia. The attack impacted 5% of the global oil supply. Crude oil prices were up 13% the first trading day after the attack, but prices have since moderated.
Equities rallied on the week, led by a surge in small caps. The S&P 500 gained a solid 2.2% on the week, but the laggard Russell 2000 rocketed more than 6%.
Second quarter GDP revisions show slower growth than was expected. The revision shows GDP growth of 2%. This is down from the initial reading of 2.1%. The downward revision is due to lower than expected local government spending, exports, private inventory investment, and residential investment.