Stocks began to swing wildly following an early lift after the market reacted positively to the latest report that said the economy added 117,000 jobs in July and the unemployment rate dipped to 9.1%. The tech sector seemed to change directions every hour following initial enthusiasm over a better-than-expected jobs report. Small gains also came from Dell, Cisco, Amazon.com and Google. Implied volatility surged to 1-year high on huge trading volumes. The downward move came after the market closed, with the S&P lowering its triple-A rating on the U.S. to AA+, saying its confidence in the U.S. government to bring its fiscal house in order had been reduced. This week investors could be in for another volatile ride. In days ahead, investors also will watch for any news coming out of the euro zone or hints the Federal Reserve could take a new approach to jump-starting the U.S. economy.
Monday, August 8, 2011
The market to assess debt downgrade
Stocks began to swing wildly following an early lift after the market reacted positively to the latest report that said the economy added 117,000 jobs in July and the unemployment rate dipped to 9.1%. The tech sector seemed to change directions every hour following initial enthusiasm over a better-than-expected jobs report. Small gains also came from Dell, Cisco, Amazon.com and Google. Implied volatility surged to 1-year high on huge trading volumes. The downward move came after the market closed, with the S&P lowering its triple-A rating on the U.S. to AA+, saying its confidence in the U.S. government to bring its fiscal house in order had been reduced. This week investors could be in for another volatile ride. In days ahead, investors also will watch for any news coming out of the euro zone or hints the Federal Reserve could take a new approach to jump-starting the U.S. economy.
