and as dominick chu reports from the new york stock exchange, many of those challenges will unfold inhe coming week. >> this is a week that's going to be chock full of possible catalysts, possible things that could either drive the market up or down. let's talk about what's going to happen on the big picture macro economic front. you've got a lot of data coming out. you've got durable goods coming up later on this week. that's a sign perhaps of what people are buying in terms of things that are built to last more than just a few years. cars, airplanes, washing machines. you've also got of course the second day of a big federal reserve central bank interest rate meeting. will they or won't they raise interest rates? all of that ahead of what's going to happen later on on thursday this week when you've got the first reading of economic activity, gross domestic product, gdp here in the united states. and of course what's happening elsewhere in the overall markets with pending home sales. that's the sale of homes where contracts have been signed but not yet closed. you've also got small c

for "nightly business report" i'm dominick chu. >>> two not so upbeat reads on the consumer today.irst consumer spending. a look at how much americans spend on everything from furniture to cars. well, it cooled in september. the commerce department reporting a 1% uptick. that's the smallest gain, though, in eight months. income growth also rose but by less than it has in four months. and a separate report from the university of michigan showed consumer sentiment rose in october but not by as much as expected. this as some are worried about the stock market volatility. >> so what can we expect from the markets for the rest of the year and where should you invest now? let's turn to sandy lincoln for some answers. he's chief market strategist at vemo asset management. sandy, welcome back. good as always to see you. what do you think? is the market in a healthy place right now through the year end or what? >> well, it's certainly in a healthier place happen it was in august and september. that was a pretty rough tour. and i think a lot of it was as the intro said, a lot of it was laid

we have to go to dominick chu who has more breaking news. >> what's going on in this tuesday?much of this happening right now. we want to call your attention to what is happening with star wood hotels. hot. those shares spiking up to about 7% on heavier than average volume. this on the heels of a dow jones story coming out that multiple chinese bidders may be looking to put a bid in to possibly take over starwood hotels an resorts. this is cording to a person -- people familiar with the matter. also watching some of the ripple effects coming as a result of these particular headlines. it's not just again what is happening with starwood. also, if you look at hilton shares, also look at hyatt shares and marriott shares, some of the big hotel operators are all moving to their best levels today again on the heels of this story coming from dow jones that multiple chinese companies are looking to get approval from the chinese government to possibly make a bid for starwood hotels and resorts. so no news-news yet. this is according to a source reporting. but still we're watching the en

dominick chu? >> there's a bull and bear case just like will tl is for everything. let's lay it out. over the past week, what you saw there was at least some performance that showed underperformance by the small caps, the russell 2,000, that's the orange line. now in the last couple days, you saw a rebound. if you look on a more year to date basis, can you see this gap of performance is what traders are worried b small caps underperforming. they signal more weakness ahead. the bullish case here is that perhaps things are turning, especially for the transportation stocks. yes, they are still languishing, but they're starting to turn higher. the gap is still huge. the bullish case is if they do turn, we can see things moving along and we might see validation overall. can y you can see how much they lagged. the bullish case centers around the u.s. dollar. we talk about the currency impact. the smaller companies in the u.s. have less exposure to foreign currency. maybe that is the bullish case there. they also note that small cap underperformance has been so exacerbated

dominick chu with the names that led the way. >> if you take a look at this the dow jones industrial average, bluest of blue chip. the small cap index is all down over 3%. then all of a sudden the mid caps hoeding up relatively low. they're down but only down 1%. if you take a look at some of the drivers behind perhaps the particular moves here, look at scotts miracle grow. one of the stocks that has not just one three month but year to date relative strength. they're positive so far. fertilizer seed, that sort of thing is up 4%. also another one, j.c. penny on the retail side. we've been talking about the retailers, j.c. penny stock, yes, it's been beaten down. it's up 51% just so far this year alone. it's in that mid cap index. the one we rarely talk about, we talk about nike and underarmor all the time. when it come to footwear this company, skechers is on fire. they're down 4% so far. take a look at this right here. well, that's a little bit wrong here. anyway, we'll tell what you is going on. an interesting story there developing about what is happening overall with that particu

let's get to dominick chu. >> shares are nearing the worst levels today, down by 3% now. the lockup period expired for the stock. it ended today. so 50 million shares of etsy are available for sale. the stock lost about a quarter value since the april ipo. etsy was one of those distributor 50 companies over the last couple years. >> thank you. "playboy" covers up. no more nude photos in the magazine. company blames the internet for the move. what this means for "playboy" and what happens when brands walk away from their history? plus, hedge funds getting slammed. inve investments shutting down a big funneled. we have the fallout. ♪ ♪ isn't it beautiful when things just come together? build a beautiful website with squarespace. prge! a manufacturer. well that's why i dug this out for you. it's your grandpappy's hammer and he would have wanted you to have it. it meant a lot to him... yes, ge makes powerful machines. but i'll be writing the code that will allow those machines to share information with each other. i'll be changing the way the world works. (interrupting) you c