News / USA

World Markets Rise Modestly On Better US Data

Trader Gregory Rowe and specialist Jennifer Klesaris work on the floor of the New York Stock Exchange, Friday, Aug. 12, 2011
Trader Gregory Rowe and specialist Jennifer Klesaris work on the floor of the New York Stock Exchange, Friday, Aug. 12, 2011

Financial markets held on to gains Friday, ending a tough week marked by wild, up and down swings in stock prices.  Fears that the global economy was heading for a downturn fueled sharp declines this week, precipitated by the first ever downgrade of U.S. debt.  Worries intensified on rumors that European countries could be next.  Since then, a few bright spots in the U.S.outlook appear to have stopped the bleeding.  The question is -- for how long?

Wall Street concluded a turbulent week on an upbeat note -- stringing together two back to back days in positive territory.  Reports that jobless claims fell last month helped lift the Dow Jones index nearly four percent higher on Thursday.

And on Friday another report showing consumers spent more than expected in July gave investors a confidence boost.  

But that was last month.  A new report shows consumer confidence plunging to a new low in August.

"Right now consumers are hearing a lot about the volatility in the stock market and the likelihood that there will be further negative news and that certainly doesn't weigh favorably on consumer sentiment. So the degree in which consumers are digesting that and and having that impact on their wallets remains to be seen but we certaintly expect if this negative news continues to make consumers a little bit more hesitant to spend money," said Retail strategist John Long.

In Europe, markets were also broadly higher Friday -- helped in part by a ban on short-selling: a practice in which investors make money by borrowing shares at a higher price -- which they then sell quickly -- hoping the price will drop -- so they can buy them back at a lower price -- and pocket the difference.

Regulators blame short selling for some of the market volatility this week.

German trader Robert Halver expressed relief as the trading week came to a close. "It's Friday, thank God, there's a weekend coming and as you can see the DAX has closed the session in positive territory. Wonderful, I'm happy that the week has ended," said Halver.

On Wall Street, Friday marked the first time in more than a month that major indices have had two good days in a row.

The Dow gained more than one percent - up 125 points.

But the relief may be shortlived -- analystS say the market instability is likely to resume again next week.

You May Like

UN: 1 Million Somalis at Risk of Hunger

Group warns region is in dire need of humanitarian aid, with at least 200,000 children under age of five acutely malnourished as drought hits southern, central part of nation More

Human Rights Groups Allege Supression of Freedoms in Thailand

Thailand’s military, police have suppressed release of independent report assessing human rights in kingdom during first 100 days of latest coup More

Jennifer Lawrence Contacts FBI After Nude Photos Hacked

'Silver Linings Playbook' actress' photos were posted on image-sharing forum 4chan; Federal Bureau of Investigations is looking into matter More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Larger Than Life Chinese Lanterns Make Southern California Appearancei
X
Elizabeth Lee
September 02, 2014 8:57 PM
Chinese lanterns with a long history are lighting up in 21st century style at the Los Angeles County Fair in southern California. Visitors can see traditional lanterns that hang, but also lanterns in the shape of animals, iconic landmarks and many other objects, all created by artisans from a place in China known for its lanterns. Elizabeth Lee has the details from the fair in the city of Pomona.
Video

Video Larger Than Life Chinese Lanterns Make Southern California Appearance

Chinese lanterns with a long history are lighting up in 21st century style at the Los Angeles County Fair in southern California. Visitors can see traditional lanterns that hang, but also lanterns in the shape of animals, iconic landmarks and many other objects, all created by artisans from a place in China known for its lanterns. Elizabeth Lee has the details from the fair in the city of Pomona.
Video

Video Experts See Rise of ISIS as Significant Development

The Islamic State’s rise seems sudden. It caught the U.S. by surprise this summer when it captured large portions of northern Iraq and spread its wings in neighboring Syria. But many analysts contend that the group - which grew out of al-Qaida in Iraq - has been rebuilding for years. VOA's Jela de Franceschi takes a closer look at the rise of ISIS and its implications for the Middle East and beyond.
Video

Video Israel Concerned Over Syrian Rebels in Golan

Israeli officials are following with concern the recent fighting between Syrian rebels and government forces near the contested Golan Heights. Forty-four U.N. peacekeepers from Fiji have been seized by Syrian Islamist rebels and the clashes occasionally have spilled into Israel. VOA’s Scott Bobb reports from Jerusalem.
Video

Video Ukraine Schools Resume Classes, Donate to Government Forces

A new school year has started in Ukraine but thousands of children in the war-torn east are unable to attend because of ongoing clashes with pro-Russia rebels. In Ukraine's capital, patriotic education has become the norm along with donations to support injured security forces fighting to take back rebel-held areas. VOA's Daniel Schearf reports from Kyiv.
Video

Video US Detainees Want Negotiators for Freedom in North Korea

The three U.S. detainees held in North Korea were permitted to speak with foreign media Monday. The government of Kim Jong Un restricted the topics of the questions, and the interviews in Pyongyang were limited to five minutes. Each of the men asked Washington to send a representative to Pyongyang to secure his release. VOA’s Carolyn Presutti has our story.
Video

Video Turkmen From Amerli Describe Survival of IS Siege

Over the past few weeks, hundreds of Shi'ite Turkmen have fled the town of Amerli seeking refuge in the northern city of Kirkuk. Despite recent military gains after U.S. airstrikes that were coordinated with Iraqi and Kurdish forces, the situation remains dire for Amerli’s residents. Sebastian Meyer went to Kirkuk for VOA to speak to those who managed to escape.
Video

Video West Africa Ebola Vaccine Trials Possible by Early 2015

A U.S. health agency is speeding up clinical trials of a possible vaccine against the deadly Ebola virus that so far has killed more than 1,500 people in West Africa. If successful, the next step would be a larger trial in countries where the outbreak is occurring. VOA's Carol Pearson has more.
Video

Video Survivors Commemorate 70th Anniversary of Nazi Liquidation of Jewish Ghetto

When the German Nazi army occupied the Polish city of Lodz in 1939, it marked the beginning of a long nightmare for the Jewish community that once made up one third of the population. Roughly 200,000 people were forced into the Lodz Ghetto. Less than 7,000 survived. As VOA’s Kane Farabaugh reports, some survivors gathered at the Union League Club in Chicago on the 70th anniversary of the liquidation of the Lodz Ghetto to remember those who suffered at the hands of the Nazi regime.

AppleAndroid