Tuesday, August 9, 2011

After downgrading, massive losses on Wall Street

In response to the credit of the United States, the tiered rates on the U.S. stock markets have crashed again on Monday. The decline accelerated until the close of trading, so that ultimately the Dow Jones Industrial lost more than 600 points at day's low was significantly below 11 000 points from the market.

He finished at minus 5.55 percent to 10809.85 points, and thus the lowest closing level since the fourth October 2010. The broader S & P 500 broke by 6.66 percent to 1119.46 points and the Nasdaq indexes were shown after their seven-and eight percent loss in the previous week again extremely weak.

The Nasdaq 100 index 6.11 percent to 2060.29 points and the composite index lost 6.90 percent to 2357.69 even more distinct points. "A downgrade by S & P has indeed been expected, but that it has come so quickly, shocked", a stock expert said in London. Keith Wirt, chief investment strategist at Fifth Third Asset Management in Cincinnati said: "While there are currently cheap stocks on the market, but emotions run high immediately.

There are enough uncertainties and therefore the investors want as few risks as possible. "Assume market participants expect that the economy continues to lose momentum in some areas could even slide into recession. All hopes are now hoping that the Fed might start on Tuesday announced three of quantitative easing and buying more government bonds.

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