Connect with us

Gorontalo Utara

Why markets are rallying and why it could end badly : NPR

Published

on

For example, ahead of the infamous 1929 stock market crash, the U.S. experienced a rally. As the economy crumbled throughout that year, selling pressure in the market reached a fever pitch by mid-October. Securities and Exchange what day of the week is most volatile in the stock market Commission, a bear market occurs when a broad stock market index declines by 20% or more over at least two months. Rallies of various durations can occur before, during, or after even the most severe of bear markets.

  1. The increases may be sharp or rapid and happen over a short timeframe.
  2. That would mean the Fed would go from fighting inflation by slowing down the economy to doing exactly the opposite — revving up that very same economy with cheaper, easier borrowing.
  3. A day trader who wakes up to a strong market opening might succeed by participating in such a rally, even if it only lasts for an hour.

Regulators quickly stepped in to stabilize the banking industry, but Fed officials later noted U.S. credit market conditions tightened following the crisis. It’s a futile effort to predict https://www.topforexnews.org/brokers/fibo-group-launched-metatrader-5-web-and-mobile/ when the next rally will occur and how long it will last. Step away from the present day and think about how chaotic events such as the market drop of 1997 can be as they’re happening.

You operate from a position of strength if you’re able to supplement this strategy with advantageous purchases when the opportunity presents itself. Price action begins to display higher highs with strong volume and higher lows with weak volume. Data on Friday showed U.S. employers added a whopping 517,000 jobs, much stronger than most forecasts, while the unemployment rate https://www.day-trading.info/equity-day-trading-equity-trading-how-to-trade/ dropped to a 53-year low. And many on Wall Street no longer dread the worst about the economy, turning from their predictions of a big recession to hope that any downturn will be mild, or even that a recession may not happen at all. Wayne Duggan has a decade of experience covering breaking market news and providing analysis and commentary related to popular stocks.

What is a bull trap vs. a dead cat bounce?

Fundamentally though, your reaction will also vary depending on whether you’re a long-term investor or short-term trader. Market bulls are fond of noting that “as goes January, so goes the year,” an expression that refers to a historic trend in which strong January gains tend to portend a good year for Wall Street. Construction workers build a residential house in Bethesda, Md., on Jan. 18, 2023.

The term “rally” is used loosely when referring to upward swings in markets. The duration of a rally is what varies from one extreme to another, and is relative depending on the time frame used when analyzing markets. We want to clarify that IG International does not have an official Line account at this time.

What should you do during a market rally?

An escalation of the war between Russia and the Ukraine could trigger further volatility in global energy prices. In addition, 2024 U.S. presidential election debates over corporate tax hikes or big tech antitrust measures could take the wind out of the stock market. High interest rates increase borrowing costs for U.S. companies looking to invest in growing their businesses, weighing on economic growth.

The Fed’s preferred inflation yardstick is also down substantially from its recent peak. Inflation has eased substantially and investors now believe the Fed will soon stop raising interest rates – and even cut them later this year to prop up a sagging economy. One of the biggest reasons the S&P 500 rally has stalled this summer has been concern over the creditworthiness of the U.S. government and U.S. banks. Another key pillar of support has been a less bad outlook for earnings. The downturn in corporate earnings over recent quarters has been less severe than many had feared.

What tracking one Walmart store’s prices for years taught us about the economy

Meanwhile, it’s becoming clear that the Federal Reserve will pivot away from interest rate hikes sooner rather than later. Cooling inflation and a still-robust economy has helped investors to lose their fear of impending disaster and buy, buy, buy. If you’re dollar-cost averaging, which simply refers to buying stock over time at regular intervals, you’ll purchase more shares when prices are down and fewer when prices are up.

In another well-chronicled October, this time in 1997, the Dow Jones Industrial Average slid more than 7% on Monday, the 27th. At the time, this was the largest percentage drop in the Dow since 1915. However, the next day, Tuesday, Oct. 28, stocks rebounded sharply, ending the session up nearly 5% on then-record volume. IG International Limited is licensed to conduct investment business and digital asset business by the Bermuda Monetary Authority. Stay on top of upcoming market-moving events with our customisable economic calendar. The economy skidded into a recession, and the Nasdaq slumped a whopping 30% over the next 11 months, with losses magnified by the Sept. 11 attacks.

Rallies are sustained moves higher that can happen in a bull market or bear market. The deepest bear markets have in the past produced the biggest bear market rallies. In the aftermath of the Stock Market Crash of 1929, the Dow Jones Industrial Average went on to rebound 48% from mid-November through mid-April of 1930. From there, the Dow declined 86% by the time the bear market hit rock bottom in 1932. The risks of loss from investing in CFDs can be substantial and the value of your investments may fluctuate. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

The S&P 500’s forward price-to-earnings ratio is currently 19.2, above both its five-year average of 18.6 and its 10-year average of 17.4. In fact, the S&P 500 finished 2011 more than 12% above its post-downgrade lows and gained another 12% in the first quarter of 2012. Fitch is one of the leading bond ratings agencies, along with Moody’s and Standard & Poors.

Rallies of 10% or more interrupted two-thirds of the 21 bear markets over that span. “The labor market continues to be very resilient with no clear signs of stopping yet,” investment bank Morgan Stanley said in a note to clients on Friday. And wage gains have softened in recent months, allaying economists’ worries that rising wages could push up prices. “The most logical answer is continued operating leverage in Big Tech and a surge in consumer spending, since wage gains now exceed inflation. It is hard to put an S&P price on that dynamic, but another 5-10 percent gain seems reasonable,” Colas says.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Gorontalo Utara

Bupati Pohuwato Terima Kunjungan Kepala BPJS Ketenagakerjaan Provinsi Gorontalo

Published

on

Bupati Pohuwato, Saipul A. Mbuinga, menerima kunjungan silaturahmi dari Kepala BPJS Ketenagakerjaan Provinsi Gorontalo, Widhi Astri Aprillia Nia, yang didampingi oleh Kepala BPJS Ketenagakerjaan Cabang Pohuwato, Stephano Liwu, pada Kamis, 4 Juli 2024. Pertemuan berlangsung di ruang kerja Bupati dan membahas berbagai aspek kerjasama terkait program-program corporate social responsibility (CSR) serta peningkatan kepesertaan BPJS Ketenagakerjaan untuk mencapai Universal Coverage Jamsostek (UCJ) di Kabupaten Pohuwato.

Bupati Saipul A. Mbuinga menyambut baik kunjungan tersebut dan menegaskan komitmen pemerintah daerah dalam mendukung program-program BPJS Ketenagakerjaan. “Kami selalu siap bersinergi dengan BPJS Ketenagakerjaan dalam upaya untuk meningkatkan kesejahteraan tenaga kerja di daerah kami. Program CSR dari BPJS Ketenagakerjaan sangat membantu dalam menciptakan lingkungan kerja yang lebih baik dan lebih aman,” kata Bupati Saipul.

Kepala BPJS Ketenagakerjaan Provinsi Gorontalo, Widhi Astri Aprillia Nia, menjelaskan bahwa selain silaturahmi, pertemuan tersebut juga bertujuan untuk menyampaikan beberapa program kerja yang menjadi bagian dari BPJS Ketenagakerjaan. “Selain silaturahmi karena baru kali ini berkesempatan datang, tentu pertemuan kami juga ke Pak Bupati dalam rangka corporate social responsibility atau perlindungan BPJS Ketenagakerjaan di Pohuwato,” ungkapnya.

 

Widhi Astri Aprillia Nia juga menambahkan bahwa apa yang disampaikan oleh BPJS mendapat respons yang sangat positif dari Bupati. “Pak Bupati sangat mendukung program BPJS Ketenagakerjaan. Di dua tahun terakhir ini, yakni di 2023 dan 2024, ada peningkatan signifikan untuk coverage. Pak Bupati juga menyampaikan akan ada perhatian khusus terkait coverage Kabupaten Pohuwato yang masih di 44 persen. Karena ada beberapa potensi yang bisa menaikkan coverage. Tentunya ini salah satu bentuk komitmen Pak Bupati meningkatkan kesejahteraan pekerja yang ada di Pohuwato,” pungkasnya.

Pertemuan ini menandai langkah positif dalam upaya meningkatkan kesejahteraan dan perlindungan tenaga kerja di Kabupaten Pohuwato melalui program-program yang diinisiasi oleh BPJS Ketenagakerjaan.

Continue Reading

Gorontalo Utara

Pemerintah Kota Gorontalo Dorong Efisiensi dan Transparansi Pengelolaan Aset Daerah melalui Bimtek Sistem Akuntansi Persediaan BMD

Published

on

KOTA GORONTALO – Pemerintah Kota Gorontalo menunjukkan komitmennya untuk meningkatkan efisiensi dan transparansi dalam pengelolaan aset daerah. Hal ini dibuktikan melalui kegiatan bimbingan teknis (Bimtek) tentang sistem akuntansi persediaan barang milik daerah (BMD) yang diselenggarakan oleh Badan Keuangan Kota Gorontalo pada Senin, (13/05/2024), di Ball Room Hotel Grand Q.

Kegiatan ini secara resmi dibuka oleh Sekretaris Daerah Kota Gorontalo, yang menyatakan bahwa hal ini merupakan bagian dari komitmen Pemerintah Kota Gorontalo dalam pengelolaan aset daerah. Dalam sambutannya, Sekretaris Daerah menjelaskan bahwa Bimtek tersebut merupakan langkah untuk meningkatkan efisiensi dan transparansi dalam pengelolaan aset daerah, serta untuk memperdalam pemahaman mengenai sistem informasi akuntansi persediaan barang milik daerah.

“Dengan pemahaman yang mendalam ini, diharapkan akan muncul inovasi baru dalam pengelolaan persediaan barang, sehingga dapat memberikan dampak positif bagi efisiensi pengelolaan keuangan daerah,” katanya.

Sekretaris Daerah mengapresiasi penyelenggara, narasumber, dan peserta yang hadir dalam Bimtek ini, serta berharap agar acara ini dapat memberikan manfaat dalam meningkatkan pelayanan publik dan pembangunan di Kota Gorontalo. Dengan demikian, kegiatan ini menjadi langkah konkret dalam meningkatkan tata kelola aset daerah secara lebih efisien dan transparan.

Continue Reading

Gorontalo Utara

Sinergi TP-PKK: Wakil Bupati Pohuwato Melaunching Program ‘Aku Hatinya PKK

Published

on

POHUWATO – Wakil Bupati Pohuwato, Suharsi Igirisa, menggelar peluncuran program “Aku Hatinya PKK” tingkat Provinsi Gorontalo pada Selasa (07/05/2024) di Desa Palopo, Kecamatan Marisa.

Dalam acara peluncuran tersebut, Wabup Suharsi memberikan penghargaan atas inisiatif program “Aku Hatinya PKK”.

“Program ini merupakan bukti nyata dari kerjasama yang solid antara TP-PKK Kabupaten Pohuwato, Kecamatan, dan Desa,” ujarnya.

Wabup Suharsi menegaskan bahwa TP-PKK adalah sebuah organisasi yang dipimpin oleh perempuan-perempuan berkualitas dan memiliki peran penting dalam mendukung serta menggerakkan masyarakat di Kabupaten Pohuwato.

“Ini adalah hasil kerjasama yang baik antara TP-PKK di tingkat kabupaten, kecamatan, dan desa. Alhamdulillah, kami sangat berbahagia bahwa program ini bisa terlaksana hari ini, dan kami berharap program ini mendapatkan apresiasi yang tinggi,” katanya.

Selain peluncuran program “Aku Hatinya PKK”, Wabup Suharsi juga meresmikan program “Inovasi SMS Cinta: Semarak Menanam Sendiri Cabe untuk Investasi Rumah Tangga”.

Dalam kesempatan tersebut, Wabup Suharsi juga turut serta dalam penanaman cabe dan melakukan peninjauan terhadap tanaman hortikultura di kebun TP-PKK Desa Palopo.

Beliau mengajak seluruh elemen masyarakat, terutama pemerintah dan TP-PKK Desa Palopo, untuk terus bekerja sama dalam mewujudkan cita-cita bersama.

“Saya berharap tanaman yang kita tanam hari ini dapat dirawat dengan baik, dipelihara, bahkan ditambah jumlahnya jika diperlukan. Tujuan kita bukan hanya meraih kesuksesan semata, tetapi juga memastikan keberlanjutan dari apa yang kita lakukan hari ini,” ujarnya.

Acara tersebut juga dihadiri oleh Ketua Pokja PKK Provinsi Gorontalo, Ny. Silvana Bowta, Ketua TP-PKK Pohuwato, Selvi Mbuinga Monoarfa, Camat Marisa, Mohammad Huntoyungo, dan Kades Palopo, Agus Hulubangga.

Continue Reading

Facebook

Terpopuler