Dow, S&P fall for week
NEW YORK (Reuters) — U.S. stocks rebounded on Friday, but major stock indexes ended the week lower as the federal government shutdown continued for a fourth day, with no sign of an end to the budget stalemate in Washington.
The Nasdaq composite index ended the week higher as Friday’s advance accelerated in the afternoon, but gains by the Dow and the S&P 500 were not enough to cancel the week’s losses.
The government shutdown has made investors nervous as it drags on, but the impact from it has been relatively limited.
A more serious concern, investors say, is if the shutdown continues and the budget battle becomes tied up with the federal debt limit, which a divided Congress must raise by Oct. 17 to avoid a n unprecedented U.S. debt default.
Reflecting a rise in investor anxiety, some options investors were starting to pay more for protection against market turmoil.