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23 de diciembre de 2018

Christmas becomes an ordeal for Wall Street




The week before Christmas has become the worst of the decade for Wall Street. The major indexes accumulated losses during the day, by tradition, are often the most profitable on the Nymex. 

The S & P 500 index, which groups the largest publicly traded US companies, fell 7.1% in a week.The Dow, and 6.9%, the Nasdaq, 8.4% in seven days. On Friday 21, the Dow Jones fell 1.82%, to 22,444.59 points. The Nasqad 2.99%, to 6332.99 points. The same fate befell the S & P 500 during the black Friday, which suddenly lost 2.06% to2416.67 points ended.

The reasons for such a precipitous decline could be explained by the fear of investors at the close of US government- and in a context of trade war are nine months with China and the lack of an agreement on the budgets of the country on account of the wall with Mexico. 

In addition,  not all investors  are confident that the monetary policy of the Federal Reserve is being directed. 

" It seems the Fed is determined to continue raising interest rates despite growing signs of slowing global growth , " said Alec Young, director of global markets FTSE Russell, quoted by the website  Market Watch .

On Monday 24 the New York park close earlier than normal and 25 will not open for Christmas, so the final stretch of 2018 is poised to become an ordeal for the US stock market. 

If it becomes the case and investors are nervous, the month of December 2018 will be the toughest since the Great Depression of 1931 .


Analysts of US bank  Goldman Sachs  already warned in October than in the first half of 2019 the US stock market would cease to be a support tool for the US economy and would become an obstacle

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