Stocks fell as an unexpected contraction in a gauge of business activity in the Midwest had cut quarterly and September gains. The ISM’s Chicago business index declined to 49.7 in September from 53 in August. Consumer confidence in September rose to a four-month high and consumer spending rose 0.5% and income up 0.1% in August. Also, Spanish stress tests found the nation’s banks have a combined capital shortfall of 59.3 billion euros, offering some relief. McDonald’s lost 1.63% after Janney Montgomery Scott lowered its view of the fast-food chain. Research In Motion climbed 5.0% after the co. reported less of a loss that analysts had projected. Facebook rose 6.6% after the co. introduced a new e-commerce feature. Apple was down 2.1% after CEO Tim Cook apologized for the glitches in its new map apps in a letter to customers. The market will start the final quarter of 2012 with a heavy schedule of reports highlighting conditions in the U.S. economy. The action starts Monday with Federal Reserve Chairman Ben Bernanke slated to deliver a speech on monetary policy. Also, investors will closely watch updates on labor market, domestic manufacturing and consumer activity, with a further look at consumers to come from financial results from Marriott International and discount retailer Family Dollar. The market will watch for September manufacturing activity figures from China, and for any word from the European Central Bank about any progress has been made in the region’s debt crisis.
