Tag Archive: gold prices

Stock Market Continues to Drop

by jscreationzs

As we feared, the downward momentum from the end of last week has continued into this week. Today is the third market day in a row the stock market has been in the red. The market has seen huge drops earlier, with the Dow falling about 4%. But as the markets closed, the losses were minimized and current prices of the four major exchanges are reported below. What has made the downfall even worse is the bad news that has come in from Europe. Investors have doubts about the economies of Italy and Greece.

The Dow Jones Industrial Average fell below the 11,000 mark once again, for the first time in the past 2 weeks or so. Currently it is standing at around 11,139 with a drop of more than 100 points or 0.9%. This definitely is a setback from the huge gains we have seen before the market started its downward spiral last Thursday.

The NASDAQ Composite fell about 6.5 points today and stands at 2,473. The S&P 500 has dropped more than 8 points and is standing at 1,165. And the New York Stock Exchange fell more than 102 points or an almost 1.4% drop and is sitting at just over 7,148.

The market week definitely had a bad start and the weather in the North East doesn’t make it seem any better. At least at the end of last week, the blue skies and outside activities gave people a reason to be out and shop, but today, businesses will suffer on both ends, from the stock market and the consumers being held inside due to pouring rain.

The price of Gold hasn’t changed much since I last reported on Friday. The price of gold is currently $1,877.30, just under a $1 less than what it was on Friday. However, at one point today, the price of gold was well over $1,900 nearing its record. It dropped a little because investors found the opportunity to sell near its highest point. But if the economy in Europe, and in the United States, continue to bring bad news, we can see gold prices remain at its current high price or even go higher.

All of this comes after a long Labor Day Weekend. The bad start seems like what we saw at the start of August. But I am not too worried. These things happen and they will continue to happen. As I mentioned plenty of times, the stock market tends to balance itself out after a point. It rallied for almost two weeks and now it is just balancing itself out again. We just have to hope for the balance to increase in its average price and I believe it will happen sooner rather than later.

The bad news about the job data came in on Friday and I believe that the job report for September 2011 will be better. I also don’t think that we will have to wait for October to get some relief from the stock market’s downward spiral, because the market will balance itself out again and rally again even if it’s for a short time.

All we can do now is hope that the future is better for all of our sake. The stock market is volatile now and as always, this could be the perfect time to invest. And as always, be sure to do your own research because the more volatility that exists, the more risk you’re taking with your money.

Stocks Plunge as Gold Soars

Over the past few weeks, we have seen the Stock Market be extremely volatile. It has gone down dramatically and have come back up the same way. Whenever you hear something about an economy at home or abroad, the stock markets plunge, and when more news comes out, the prices stabilize almost as quickly. And whenever stock prices fall, Gold prices soar. Earlier today, Gold prices hit a record high of $1,830 per ounce. Gold prices have doubled since 2007 and it is almost up 20% since this past June.

Today the Dow Jones Industrial Average fell 445 points (or 3.9%) an hour after the opening bell. It was reported to have been down 528 points earlier. It was down below the 11,000 mark for quite some time. It has gone back up at this time but the market today is very volatile and I would not be surprised if the Dow Jones went back below 11,000 and stayed there by the time the markets close later today. It has already happened several times in the past few weeks and unless something big happens in the global economy, it’ll most likely happen again over the coming weeks.

The S&P 500 fell 4.2% (or 49 Points) and the Nasdaq Composite fell 112 Points (or 4.5%). The price of crude oil also dropped almost $4 to $83.63 in the fear that the weaker economy will equal less demand for the product. This won’t affect gas prices too greatly, it may go down a few cents as it has during almost every drop this year.

This is not the end. This is what volatility is. The Stock Market is experiencing extreme mood swings and even though the it’s down almost 400 points right now, it will go back up and then go back down again. News about more crisis in the US and Europe will continue to come in, inflation will increase prices of every day items that we buy, and it’ll keep happening until all the debt issues are solved, and personally, I don’t see it happening any time soon because of the lack of cooperation we have been seeing in governments.

Until then, we can only sit back and watch. We’ve seen recessions like this several times in the stock market’s history, even though it may not get better tomorrow or next week, but it will get better eventually and then we can all leave this turmoil in our past.

 

Update 4:14PM:

The Dow Jones finished at below 11,000 points at the closing bell with 10,990 dropping more than 419 Points. . The Nasdaq Composite drops 131 points finishing off at 2,380. And the S&P 500 drops 53 Points finishing off at 1,140.

Price of Oil drops even more for a total drop of $6 so far today for a current price of $81.61.

We will have to see whether the big drop continues onto tomorrow or whether things bounce back like it has recently after a big drop like we experienced today.