Feb 22

Dow Jones Pushes Higher To Resistance And Past 13000

The Dow Jones industrial average passed 13,000 mark during trading on Tuesday, first time since May 2008 due to agreement on Greek bailout and reports of hefty corporate earnings. On March 9, 2009 the Dow was at 6,547 nearly half of 13,000. It was at its highest level of 14,164, on Oct. 9, 2007.

During last summer, the Dow Jones industrial average shed 2,000 points in three horrifying weeks. During this period the European debt crisis was intense and America was battling federal borrowing restrictions. S&P lowered the U.S. credit rating. In the United States a second recession was a real danger. However, the economy grew quicker quarter after quarter during last year and job market improved substantially.

Though higher gasoline prices are main concerns. U.S. economy is expected to grow during the rest of the year. On average price of gasoline is 40 cents more as compared to last year due to Iran’s nuclear program. Iran has already stopped oil supplies to France and Britain and has threatened to do the same to other European nations.

The price of oil was highest since last May at $106.25. However, investors appeared confident and shifted funds from safer investments like government bonds to risky stock market.

Posted in US Exchanges | Tagged , , , | Leave a comment
Feb 19

Zynga Stock Price Explodes As Investors Warm Up For Facebook IPO

Zynga stock price (ZnGa) exploded today, reaching a highs during the session, investors regain some semblance risk appetite in the wake of the announcement of the IPO of Facebook.

The interest in the Zynga stock price of the game publisher Zynga could also be explained by the fact that 12% of revenues come from Facebook just the company of Mark Pincus. This proportion appears to demonstrate that the good fortune to Zynga could grow in full synergy with that of Facebook.

It also mentioned the risks associated with the potential inability to maintain a harmonious understanding with his partner. The popular social network has indicated that its financial results could suffer such a deterioration of business relationships with the designer of games CityVille and Farmville. Speculators foresee the possibility of a purchase by Zynga Facebook, with a view to securing a significant portion of that income.

On 16 December that transactions on the Zynga stock price (ZnGa-Q) was initiated. The financing came inflate cash from Zynga one billion USD, based on a sale of 100 million shares. This introduction at that time became the largest IPO since Google in 2004.

Other newly available technology stocks on the stock exchanges since 2011 also reap significant gains today. LinkedIn (LNKD) and Groupon (GRPN) move in particular approximately 6%.

Posted in US Exchanges | Tagged , , , , | Leave a comment
Jan 27

More Decisions For Stock Markets And Futures Prices

U.S. stocks rallied on Wednesday following announcement that Goldman Sachs has earned more than expected during fourth quarter. The euro increased in value following reports that the International Monetary Fund has taken measures to enhance its capability to combat European financial crisis.

Since result of Greek debt restructuring talks is still unknown, investors will adopt a cautious approach. Bond redemptions by Greece to the tune of 14.5 billion euros is due in late March. For that reason it is important that an agreement with private sector is achieved if Greece is to receive its next tranche of international assistance and to avoid bankruptcy.

As per analysts the International Monetary Fund’s measures indicate that the Europe is stabilizing.

The yield on 10-year note increased from 1.86 percent to 1.90%.
In order to lend money to countries affected by the euro zone crisis, the International Monetary Fund is planning to enhance its finance base by $600 billion.

Against the dollar the euro increased in value on third consecutive session. Reports that Italy might not be downgraded by Fitch Ratings, helped in lifting the currency.
Share price of Goldman increased by about 7 percent. The bank exceeded analysts’ predictions by about 50% through lower taxes and cost cutting. Futures prices were mixed as investors digest goings on in the markets.

Posted in Economy | Tagged , , , | Leave a comment