what the HELL has happened to the markets?!!?

Has any of the members noticed this?!? I study business at college, so the markets do interest me a lot and im very suprised by this sharp dip across the World. Has America "caught a cold again"?


FTSE 100
5912.1

-129.90

Dax
5916.3

-138.44

Cac 40
5150.5

-112.49

Dow Jones
11454.6

-46.18

Nasdaq
2257.7

-14.97

newsvote.bbc.co.uk...

All the World Markets have taken a sharp downfall Milan MIB losts nearly 700 points - 663.00

Sao Paulo Bovespa nearly lost 900 points -863.05

[edit]

Moscow is the only market to make a gain, of 16 points. The rest have made or are making losses


[edit on 12-5-2006 by infinite]

What would "normal" losses be? I am unfamliar with the subject.

Check out the price of gold today, it's over $700 an ounce US.
Those falling markets are sure boosting metal prices.

Originally posted by Nygdan
What would "normal" losses be? I am unfamliar with the subject.

Well now and again, markets get losses even in the hundreds, but across the entire World Markets...its kinda odd. Lots of things can effect the markets, especially politicals events...but the US market has a lot of effect on the World (remember the depression)

quote.bloomberg.com...

quote.bloomberg.com...

This isn't like, the biggest lost...but its showing that we are all worried about America.

This article is worrying..

news.yahoo.com...

[edit on 12-5-2006 by infinite]

What's happened to the markets? That's a simple question to answer. What's happened to the markets is that investor confidence has declined. In essence, those people who invest in the stock markets are reacting to news and world events. Investor analysis of the world news and global economic trends have led many to believe that the prospects -- at least in the short term -- are not good.

Many things affect investor confidence. Fuel prices and availability (long and short term), prospects of global trade interruption (due to possible war, for example), trends in consumer demands and spending, inflation and other speculative aspects and trends are things that can influence the stock markets.

Stock market gains and declines are often cyclical in nature. Even without world events as causal factors, stock markets regularly rise and fall as investors participate in profit taking. That is, they sell their stocks to reap their profits in cash or to reinvest.

In my opinion, and it's only my opinion, the present drop in market prices is a reaction to current global events, namely the possibility of war with Iran and the possible disruption in oil supplies. Additionally, the prospect of inflationary conditions developing in the very near future due to looming increases in manufacturing costs -- resulting in higher consumer costs might have had some effect in the losses the market has experienced. Increases in manufacturing costs are expected because, besides oil, the price of metal; steel, iron, copper, etc. are all on the increase.

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Thank you for an excellent, intelligence and informative post

news.bbc.co.uk...



not good.

Market volatility picked up a little, but looks more like a bull market friday sell off to me.

After a high flying 5 week record setting advance, it means some decided to cash in there chips rather than holding them over the weekend. The safe bet.

US labor report and inflation might of spooked some of them.
Inflation Fear Takes Shares Down Again