>Dow Jones industrial average (INDU) lost almost 200 points or so to be correct its 219 points, or 2.5 Percent.
>Standard & Poor’s 500 (SPX) index down by 19 points, or 2.1 percent.
>Nasdaq composite (COMP) down by 27 points, or 1.7 percent. IT was volatile kind of until the last hour and there was lot of profit booking happening so it just went down in the final hours.
What moved the market
>GE has credit outlook lowered to negative
>Initial jobless claims and continuing claims dip, both essentially in-line with expectations
>FedEx, Nike top quarterly earnings estimates
>Reports indicate General Motors and Chrysler reopened merger talks, but GM denies the claim
>Reports suggest $850 billion stimulus in the making, It was i think atleast 750 billion dollar again over a year or so.
The two day green race came to an end today after the market closed in red. Dow Jones industrial average (INDU) ended down 215 points, it almost went to 312 points down.
>Standard & Poor’s 500 (SPX) index fell 2.9% and the
> Nasdaq composite (COMP) retreated 3.1%.
Market Movers
>Jobless claim is still worrying the market
>AT&T planning for job cuts
>Dow components Merck and DuPont guide EPS below expectations for 2009
>Retailers’ November same-store sales hit the wires
Dow jones today crashed by almost 680 points, This is the 4th biggest single day loss in the history.The decline was almost 7.7 percent which is like 12th worst percentage drop on a single day.It all started when the US investors went through the Holiday sales report and also industrial growth which had already crashed the market but the whole market crash happened after the recession data came in from NBER which i have talked about it in the last post.
Market movers
>U.S. manufacturing contracts more-than-expected in November
> U.S. credit card industry may cut credit lines by over $2 trillion
> Black Friday sales up 3.0%, according to ShopperTrak
> NBER officially declares U.S. recession started in Dec. 2007
No more thinking of using the R word , everyone will just use this single word from now on , Its official that US has gone into recession.National Bureau of Economic Research declared that America has gone into recession for some time now.When i say sometime its almost a year now from December 2007. Its they have to analyze the data and finally come out with the result and with the employment data they have Employers have trimmed payrolls by 1.2 million jobs in the first 10 months of this year.They are expecting another 350000 job loss for remaining year may be so finally 1.5 million jobs for this year alone.One good news is like when you compare the recession data before US is almost in the time to come out of it .We will see how many more month they need to come out of recession.The market already has responded to this.
Source: CNN
Sensex which had almost surged 200 points from starting is in red now , The market opened the day with support from US market and the Stimulas package that was given to Citibank , but now its almost at red .European market is kind of choppy and may be Sensex is retariating that.Yesterday Finance Minister P Chidambaram said that India is likely(common say it will no likely here)to miss the revenue and fiscal deficit targets in the current financial year as the government wants to spend additional money to boost the aggregate demand in the economy which has shown signs of slowing down. Thus, he said, the Centre would have to go for additional borrowings this year to meet higher expenditure. Higher government borrowing will restrict a further fall in interest rates. So all these line means there is more cut thats in the way.
Dow Jones industrial average was down by 5.6% and the Nasdaq was down by 5.1%. They where at the lowest point of march 2003 , and S&P 500 is at its 1997 low .What else you want US government and FED said no to Auto Company bailout.
Market Movers
>Citi plunges 26% - lowest in 15 years
>Jobless claims jump, exceed consensus
>GE seeks investment from sovereign wealth funds
>Citigroup receives increased investment
>S&P dives to lowest level since 1997
>New York Times Co. cuts dividend by 74 percent
Sensex down by more than 400 points or so due to global bourses melt down , bifty down by almost 123 points or do , Realty down by 7 percent or so ,Bank down by more than 6 percent , Metal,Auto and Power sector almost all down by more than 5 percent.Asian market aslo over all down between 2 to 7 percent.Inflation data also have eased for this week will talk about that in the next post.
Dow jones Industrial average today went down by more than 427 points to close below 8000 points at 7997 points ,So Dow ,Nasdaq and S&P 500 closed at 5 years low.US market which after a long time went up yesterday had erased all the gain it had yesterday , The Market dint have any good news to go in green, Investors are concerned over the fate of U.S. automakers,and very disappointing economic data, and very bad outlook from the Fed left the market in deep red.
Market Movers
>S&P 500, Nasdaq take out 5-year intraday lows
>CPI falls by a larger-than-expected amount of 1.0% in October, largest seasonally adjusted monthly drop since at least 1947
>Housing starts, building permits fall to record low in October
>Fed cuts economic growth forecasts for 2008, 2009 and 2010
>Automakers fall as executives testify to House Financial Services Committee in an attempt to get a loan
Sensex started the market down by almost more than 300 points and it was in red the whole day , lot of factors weighed in almost i can see finance minster doing whatever possible speech to get the market up nothing was working , he was saying Government is taking all the measure to bring the economy up , he was saying there might be some excise duty cut which might increase the factory output.He was also saying that India might miss the 200 billion dollar annual export target for this year.RBI governor told RBI is ready to take necessary action at the right time .So there was nothing that helped the market to go up .The SENSEX was down by 354 points to close at 8937 points.
MArket started ok but when the CITIGROUP announced that they are going to cut the workforce it weighed on the investor sentiment which was already down due to economic concern .
Dow Jones industrial average (INDU) down by 223 points, or 2.6%.
Standard & Poor’s 500 (SPX) index fell 2.6%.
Nasdaq composite (COMP) down by 2.3% its a 5 and half year low.
What Moved the market
>Citigroup to cut more than 50,000 jobs, roughly 14% of its workforce
>Industrial production increases by a larger-than-expected amount in October
>Lowe’s warns that consumers will continue to delay discretionary home improvement purchases
>Target suspends share repurchases
|
US market is kind of silent otherwise it would have been a normal bearish open with nothing to bother the marekt , The citigroup job cut kind of started the week on a bad note , Citigroup had said that it will cut more than 52000 job cuts byt the end of the year and some over next year starting .
|
The holiday season might not be good for some people .It would have the workforce reduce to almost 300,000 from 352,000 employees.This is kind of reduction of almost 20 percent in its workforce from where they were last year.
Half of this cut come out of sale in there division and remaining half would be cut both Domestic and International so it might happen in India also who knows.
| Sensex started as if it would close green only but it saw a very big swing today it recovered 330 points but closed down by 94.91 points or 1.01% to 9,291.01 after swinging 479 points in volatile trade between the day’s low of 8956 and high of 9435 .At least it closed above 9000 points.
|
 |
Market in fact opened in green after weekend announcement by RBI that it will shield the Indian economy from the global economic slowdown .But the market started broking down after seeing all it neighbors started going down , Japan for the first time in seven years went clipped to recession in the third QTR of the year.
Realty sectors are the worse hit sector today as it had concerns if the banks would them loan.
US Stock Market crashed by 411 points after recession fear , they can better say that they are in a prolonged recession rather than everyday fearing if they would really have recession or not , nothing was good for US market today , The #1 Consumer retail shop BEST BUY lowered the earnings guidance for fiscal year 2009 , and also they said they have never seen a difficult condition that this , There was another blow from Treasury Paulson saying $700 billion bailout fund will no longer buy troubled assets; may buy stakes in non banking companies.So these all paved way for the Dow to crash by 411 points.
What moved the market
>Best Buy issues downside earnings guidance for fiscal year 2009, says this is the most difficult climate its ever seen
>Treasury Secretary Paulson speaks about $700 billion TARP; will no longer buy troubled assets; may buy stakes in non banking companies
Sensex saw another crash today , Market was down almost 303 points or almost 3 percent to close at 9,536.33, This is good compared to the 500 points crash that happened midway before closing , Market totally has gone down by 1000 points or so for 2 days , Whole Asian market was in RED,Sensex had some relief in the middle when the industrial data came out but that also dint stand for more than some hour.
US market fell for the second consecutive day on Tuesday as economic fears and a prolonged recession and worries about corporate earnings all where overshadowed by information that US government for plan to help prevent foreclosures.So there was nothing in the market that helped it to go up.
What moved the market
>American Express gets Fed approval to convert to a bank holding company, will give it access to bailout package, other Fed measures
>Analysts slashing earnings estimates as economic outlook weakens
>Government to modify some GSE mortgages in an effort to prevent foreclosures
If the Global market goes like this soon we can see sensex hitting October 27th low.
Subscribe to Rupya