Important stock indexes began decreasing yesterday after investors gained a lot of profits from a blockbuster rally that took place for two weeks. The trading process closed at 4 pm yesterday and investors were surprised when the Dow Jones shares and S&P 500 decreased by 0.2% each. The Nasdaq index decreased by 0.3% as well. However, experts believe that this is completely normal especially that the Dow Jones has broken records during the last two weeks. During last Thursday, Dow Jones index broke it eighth record during 10 different trading sessions and increased by 0.8% to reach 12,539.
This is something that has definitely surprised investors especially after the stock market has been quite disappointing since the beginning of this year. However, this is clearly a sign that businesses are blooming in the United States and that overall situation of the economy is better. Many experts are predicting that even though there is a decrease, it won’t be as dramatic as it was in the beginning of this year.
During all these sessions, the Dow Jones ended up closing higher and this is the longest profit streak to take place in the United States market since October 1996. The S&P 500 also increased by 0.6% to reach 1,563 and this is the highest level since 2007. The benchmark of oil is the United States also increased by 0.5% to reach $93 per one barrel.
The optimism of investors in the United States resulted in a positive push in the Asian market as most stocks there experienced as improvement as well. In Europe, most indexes increased as well especially the Stox 600 that ended up increasing to reach 298. The Nikkei index in Japan also increased by 1.45% to reach 12,560 and this was a result of both Parliament houses endorsing Haruhiko Kurdo, who is the development bank’s current president. So far, the international and national stock markets have been doing great with no major losses.
However, experts are warning investors not to get too optimistic especially that most of them believe that this increase rally has ended and this is exactly what happened in the stock market today when the two major indexes decreased. Even if this wasn’t a dramatic decrease, many people that investors should be very careful and have to prepare themselves for any negative changes that will take place in the future especially during the next few weeks.