Category: Stock Market

Recovery next year for world stocks: poll

Investors too are entering the fourth quarter with a slightly raised exposure to shares and holding high reserves of cash that could quickly be used to fuel a stock rally, a Reuters poll showed on Thursday
The survey also suggested strong gains lie ahead on some rich-world bourses, with bourses in the United States, Australia, France, Germany and Japan expected to yield double-digit returns from now until mid-2012….

Investors flee to gold

Stock-shocked investors are fleeing to gold, pushing the precious metal to new heights.

Gold reached a new intraday high of $1,782.50 per ounce in electronic trading before backing down to $1,746.20. That’s an increase of $33, or about 2%, compared to its Monday close. On Monday, gold broke $1,700 for the first time.

The current flight to gold has been by a nasty stock market plunge. On Monday, the Dow Jones industrial average plummeted 624 points, or about 5.5%, and the Nasdaq and S&P 500 dropped nearly 7%. It was the worst day on Wall Street since the 2008 fiscal crisis.

GLOBAL MARKETS-Investors dump stocks after U.S. downgrade

NEW YORK, Aug 8 (Reuters) – U.S. stocks plunged on Monday
and investors fled to the safety of gold and bonds after the
downgrade of the U.S. credit rating by Standard & Poor’s stoked
fears the United States is slipping into recession.

Wall Street slumped as much as 6 percent by mid-afternoon
and European stocks hit a two-year low. A favored gauge of
investor anxiety spiked well above 40, a sign investors are
afraid of more declines to come. The CBOE Volatility Index
.VIX surged 41.9 percent at 45.40.

Investors were struggling to discern the effects of the
U.S. credit rating downgrade to AA-plus from AAA, which could
hit various components of the vast U.S. financial sector, from
mortgage lenders to municipal issuers and insurers.