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

Westgate Mall Attack Survivors Confront Painful Memories

On anniversary of terror attack, survivors discuss how they have coped with trauma they experienced that day More

Iraqi Kurd President Urges World Community to Protect Syrian City

Islamic State fighters are besieging Kobani, also known as Ayn al-Arab, after seizing at least 21 surrounding villages in a major assault against city on Syria's northern border with Turkey More

Video Whaling Summit Votes to Uphold Ban on Japan Whale Hunt

Conservationists hail ruling as a victory, but Tokyo says it will submit revised plans for a whale hunt in 2015 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.
Russian Economy Reeling After New Western Sanctionsi
X
September 18, 2014 2:28 AM
A new wave of Western sanctions is hitting Russia’s economy hard. State-owned energy firms continue to bleed profits and Russia’s national currency plunged to a new low this week after the U.S. and the European Union announced new sanctions to punish Russia's aggressive stance in eastern Ukraine. But as Mil Arcega reports, the sanctions could also prove costly for European and American companies.
Video

Video Russian Economy Reeling After New Western Sanctions

A new wave of Western sanctions is hitting Russia’s economy hard. State-owned energy firms continue to bleed profits and Russia’s national currency plunged to a new low this week after the U.S. and the European Union announced new sanctions to punish Russia's aggressive stance in eastern Ukraine. But as Mil Arcega reports, the sanctions could also prove costly for European and American companies.
Video

Video Belgian Researchers Discover Way to Block Cancer Metastasis

Cancer remains one of the deadliest diseases, despite many new methods to combat it. Modern medicine has treatments to prevent the growth of primary tumor cells. But most cancer deaths are caused by metastasis, the stage when primary tumor cells change and move to other parts of the body. A team of Belgian scientists says it has found a way to prevent that process. Zlatica Hoke has more.
Video

Video Mogadishu's Flood of Foreign Workers Leaves Somalis Out of Work

Unemployment and conflict has forced many young Somalians out of the country in search of a better life. But a newfound stability in the once-lawless nation has created hope — and jobs — which, some say, are too often being filled by foreigners. Abdulaziz Billow reports from Mogadishu.
Video

Video A Dinosaur Fit for Land and Water

Residents and tourists in Washington D.C. can now examine a life-size replica of an unusual dinosaur that lived almost a hundred million years ago in northern Africa. Scientists say studying the behemoth named Spinosaurus helps them better understand how some prehistoric animals adapted to life on land and in water. The Spinosaurus replica is on display at the National Geographic museum. VOA’s George Putic has more.
Video

Video Iraqi Kurdistan Church Helps Christian Children Cope find shelter in churches in the Kurdish capital, Irbil

In the past six weeks, tens of thousands of Iraqi Christians have been forced to flee their homes by Islamic State militants and find shelter in churches in the Kurdish capital, Irbil. Despite U.S. airstrikes in the region, the prospect of people returning home is still very low and concerns are starting to grow over the impact this is having on the displaced youth. Sebastian Meyer reports from Irbil on how one church is coping.
Video

Video NASA Picks Boeing, SpaceX to Carry Astronauts Into Space

The U.S. space agency, NASA, has chosen Boeing and SpaceX companies to build the next generation of spacecraft that will carry U.S. astronauts to the International Space Station by the year 2017. The deal with private industry enables NASA to end its dependence on Russia to send space crews into low Earth orbit and back. Zlatica Hoke has more.
Video

Video Future of Ukrainian Former President's Estate Uncertain

More than six months after Ukraine's former President Viktor Yanukovych fled revolution to Russia, authorities have yet to gain control of his palatial estate. Protesters occupy the grounds and opened it to tourists but they are also refusing to turn it over to the state. VOA's Daniel Schearf reports from Mezhigirya, just north of Kyiv.
Video

Video China Muslims Work to Change Perceptions After Knife Attacks

China says its has sentenced three men to death and one woman to life in prison for a deadly knife attack in March that left more than 30 dead and 140 injured. Beijing says Muslim militants from China's restive western region of Xinjiang carried out the attacks. Now, more than six months after the incident, residents in the city are still coping with the aftermath. VOA's Bill Ide has more from Kunming.


Carnage and mayhem are part of daily life in northern Nigeria, the result of a terror campaign by the Islamist group Boko Haram. Fears are growing that Nigeria’s government may not know how to counter it, and may be making things worse. More

AppleAndroid