Until Friday’s drop, March was shaping up to be the best month for U.S. stocks since 1974. But with both Asian and European markets down sharply in this morning’s trading, markets are set to take a breather for the next few days. And although there has been a trickle of good news on the U.S. economy, there are plenty of reasons to think the markets will take a pause from their recent upswing.
The U.S. Fed’s version of "shock and awe" — its announcement of "quantitative easing" last Wednesday — put a spanner into your Global Stock Investor portfolio, even as the strong bounce in global stock markets since March 5 is showing signs of petering out.
With the Brazilian oil giant, Petrobras (PBR), soaring 8.4% yesterday, your stock position is now up 35% in the past four weeks.
The Fed’s unexpected announcement of "quantitative easing" last week — printing money to buy the U.S. government Treasuries — put a spanner into the works of your Global Bull Market Alert portfolio.
Although I had mentioned the possibility in yesterday’s Global Stock Investor hotline, the announcement by the U.S. Federal Reserve that it is embarking on a formal program of "quantitative easing" by planning to buy $300 billion of U.S. Treasuries caused genuine "shock and awe" in global financial markets.
The announcement by the U.S. Federal Reserve that it is embarking on a formal program of "quantitative easing" by planning to buy $300 billion of U.S. Treasuries caused genuine "shock and awe" in global financial markets.