Posted January 7, 2012 1:11
This was the first trading week of the New Year. The market performed exceptionally well, with the NASDAQ achieving its biggest weekly gain in over a month. The main piece of economic news was the U.S jobs data. The numbers were unexpectedly positive. The ADP report, which measures the private sector, gained an astonishing 325,000 jobs. The jobs report from the government also showed improvement. The official number was 200,000 jobs added, which influenced the jobless rate to fall to 8.5 percent.
The lingering factor in the market that is baffling all traders is the fact that the Euro’s decline is persistent and doesn’t seem to be stopping anytime soon. This could be negative for global markets. Regardless of the fact that the U.S economy is improving, the European markets are the ones that everybody has their ear to the ground on. A devastating blow can be felt from any impeding news that would come out of the European countries/leaders.
Before making your next trade,…
think about the fact that the market is currently overbought; the banks have rallied this week on no true substance, which could lead into a sell-off next week.
Always contact your financial advisor before making any decisions. The facts above are to be used for educational purposes only. If an investment would be made from this information, please do your own research. We are not responsible for any losses that may be acquired from the information presented herein.