Tuesday, May 1, 2012

Finished in the red

Following three months of solid gains, all three major indexes posted their worst monthly returns of the year. Stocks hit a rough patch in April as investors faced a series of U.S. economic reports suggesting a stalled recovery. The recent economic data has clearly softened, and concerns over what's going on in Europe are rising again. On Monday, Spain's government said its economy declined for the second straight quarter, revealing the nation is in recession. Whether or not investors will continue to "sell in May and go away" depends on the upcoming economic news. Investors will likely be cautious this week.