US market yesterday saw massive crash and All three major markets got into negative territory for the year as investors were rattled over an intensifying global economic slowdown and ahead of the widely-followed monthly unemployment report.
The CBOE volatility index surged more than 35%.Dow Jones Industrial Average slipped 4.31% or 512.76 points at 11383.68. Nasdaq Composite shed 5.08% or 136.68 points at 2556.39. Standard & Poor’s 500 shed 4.78% or 60.27 points at 1200.07.
Everytime when you hear that Federal Reserve Chief Ben Bernanke is going to speak then you cans ure bet that the market is going to go down and that’s what happened yesterday in US market , Dow went down by 733 points and Nasdaq went down by 150 or more points.Nothing was favorable for US Market yesterday Economic data that came out was also bad.This is like second biggest drop and sure it would have wiped trillion dollar investor money.
What Moved the Market
>S&P 500 drops 9.0%, largest decline since crash of 1987.
>Retail sales in September post largest monthly drop in three years, worse than economists forecast
>Coca-Cola, JPMorgan Chase, Wells Fargo and Intel all top quarterly earnings expectations this helped by not falling more.
Finally whatever went up in one day has been erased in 2 days .Not sure if this doing any good.They have to understand the market will not come up in a second , they have just taken measure that way people don’t loose there money, We have to give some time like may be say 6 month to 1 year for all the company to recover and then expect market to come back until that time the market will be bearish ,if they expect to raise in a single day then this is what will happen .
The Dow Jones Industrial Average saw the points tumbling by 241.73 points, or 2.1%, to 11386.33, which almost erased 3 day winning streak.The market was impacted by financial sector and also by the carribean storm and also it was influenced by Home Sales which we have to say on the p[ositive side raised by a larger-than-expected amount but unsold inventory remains at very high level.
The Dow Jones closed 257 points lower at 12325 while the Nasdaq shut shop at 2290 down 61 points.
What made the market to plunge is ?
>GE reports first quarter earnings below expectations, issues a disappointing outlook for 2008
>Consumer Confidence falls to lowest level since 1982 in April, according to an University of Michigan Survey
All indian ADR’s are down except Sterlite.
Wipro was down by 3.58% at $ 11.03,
Patni Commputer down 2.86% at $ 12.23,
Satyam was down 2.69% at $ 22.76,
Infosys down 1.21% at $ 35.81.
HDFC Bank was down 3.58% at .24,
ICICI Bank was down 2.94% at $ 38.95.
Ranbaxy was down 1.61% at $ 14.69.
Tata Motors was down 2.88% at $ 15.17.