Though the earning season has come, Wall Street still has not become stable. It has been in the same state from the past 2 months.
The quarterly sales report of JPMorgan and Alcoa may not be as promising as that of China as it might make a place in the headlines. Three of the major state banks have revised their monetary policy which might be a great chance for the investors. The report will be released soon, telling what changes it brought to the market.
The global economic slump has affected the US stock market too while Europe is already under the pressure of debts. A number of meetings have been arranged to solve the issue but nothing much promising seems to come in the front yet.
The uncertain market conditions have provided a great chance to the investors and traders to cash money opportunities from the situation. The S&P 500 is also going in adverse state. The index is even less than 0.1 %.
A market strategist, Quincy Krosby who works in Prudential Financial said that the current market situations are in favor of the traders but those who are into long term investments still do not see a clear and profitable way anywhere. The index at S&P 500 last Friday was 0.55% down.
In order to give a rise to the market, Fed is initiating a monetary strategy this Friday. The equity market may get stable for a short time if some assets are purchased from the central bank of Japan. But this will depreciate the currency in Japan, said Brian Jacobsen, a portfolio strategist.
The central bank sure is taking immediate measures in order to make the market conditions stable. The figure of GDP from China will tell what will be the condition of the market in the coming days. It is expected that GDP rate of China will be a positive sign and market conditions will take a positive turn. It is expected that this year’s rate will grow 7.6% as China is the world’s 2nd largest economy.