(Thursday Market Close) Geopolitics stormed back into the picture in a big way Thursday, helping to wipe out much of the market’s recent comeback and raising new concern about whether the recent softness might end up getting more prolonged. There’s a little more worry creeping into the market than there was a week ago.
Today’s losses seem a little more foundational than last week, when a lot of the sell-off likely reflected profit taking. This time, bad news from all over the world and even from U.S. earnings reports ganged up to send major indices down 1.2% to 2%, back to levels not far from last week’s lows. Nasdaq (COMP) got the worst of it, falling more than 2%, while the other major indices fell more than 1% but finished off their mid-session lows.
In the face of these losses, it’s important to keep things in perspective. From a percentage basis, the losses over the last week aren’t incredibly huge. Sometimes people see the big losses in the Dow Jones Industrial Average ($DJI) and blow them out of proportion. The moves aren’t that outrageous, but the raw numbers are big compared with 10 or 15 years ago. Also, some technical support does appe
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As Wall Street continues to mull the latest minutes from the Federal Reserve, it seems that worries are continuing about higher interest rates potentially clipping the wings of a high-flying stock market.
After Tuesday’s big rally and strong results from Netflix, it looks like the market might pull back under some profit-taking pressure early Wednesday. Volatility remains a possible factor.
Robust earnings results from some of the big banks, along with a rally in Europe, might help come to the aid of a sagging stock market early Tuesday. Netflix earnings loom after the close.
It’s the first major week of earnings season, and Wall Street appears to still be under pressure after recent sharp losses. Retail sales came in under expectations, but Bank of America beat estimates.
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