Market pessimism weighed on equities in September and was reflected in a sharp drop in all major indexes. The gloomy mood was exacerbated by mounting concerns that the Federal Reserve may have become overly aggressive and that tight monetary policy could push the economy into recession. With this backdrop, the VIX Index or “fear gauge” rose from near 27 before ending the month at over 31. For the full month, all major equity indexes were negative with the Dow Jones Industrial Average decreasing 8.8%, the S&P 500® index down 9.3%, and the smaller cap weighted Russell 2000® down 9.7% for the month.