Geo-political, weather volatility on the gloomy horizon

IT'S hurricane season in the US, and it may not spare the stock market. US stocks rose last week, racking up one of their biggest gains of the year as a glimmer of light appeared on the gloomy geopolitical horizon. Analysts caution that the storms - literal and figurative - have not yet passed and that more volatility is likely.

Hurricane Dorian could make landfall on the East Coast of the US this week as one of the strongest storms in recent history, and the stormy ties between the US and China could also produce more shocks. And any weakness in jobs data out this Friday would bring in heavy market winds.

August shaped up to be one of the worst months of the last decade but the 3 per cent gain on the week trimmed the decline on the month to less than 2 per cent for the broad Standard & Poor's 500.