Do you think the decrease in unemployment claims is somehow causing this hot streak on Wall Street? Is it going to last or are things going to slow down again soon?
Thursday, March 14, 2013
Lower Unemployment and Higher Markets: A Sign of Things to Come?
This Article from the New York Times talks about how new unemployment benefit filings have been declining these past two weeks. This has been reflected on Wall Street, which has been on a hot streak as of late. In fact, the DOW has risen for nine straight days now, a streak not seen since late 1996.
Subscribe to:
Post Comments (Atom)
After the bad news of the recession, the decreasing in unemployment has affected people's expectations. That indicator has also influenced to increase the investor's confidence in the growing economy. Here, I share a link (http://www.nytimes.com/2013/03/11/business/economy/after-corporate-upswing-hopes-grow-for-a-consumer-revival.html?src=recg) which addresses the effects and consequences of decreasing unemployment rate not only in the stock market, but also in the good and service market. The consumption has increased due to people get a job and earn an income which uses to spend or invest. However, one should keep in mind "The Federal Reserve's stimulus programs helped corporate America, but they did little to help improve the lives of most American workers, whose wages declined while unemployment remained stuck at high levels."
ReplyDelete