Wall Street seems to be going through a tough time. After remaining inactive for two days in the last week due to the mayhem caused by Hurricane Sandy the Wall Street is now open for business. But, there is no respite for binary traders. Just a day after the US Presidential Election the stocks slumped to such an extent that they took Dow Jones to the lowest level in a year.
The US economy that showed some signs of recovery with consumers turning their attention to the market is once again posing challenge for traders in the field. It is to be kept in mind that the plunge of the US stocks is not any individual phenomenon but is closely connected to the global economic crisis. Binary traders who expected a fair income are not only disheartened but disappointed as well.
Most of the stocks in the US markets fell to the dismay of binary traders. All of the 10 groups in Standard & Poor’s 500 Index fell due to huge losses incurred by some big companies. Both Bank of America Corporation and J.P. Morgan Chase & Co. slid 5.6 percent. Peabody Energy Corporation and Alpha Natural Resources Inc. slumped more than 9.6 percent. The largest publicly traded company Apple Inc. plunged 3.8 percent. The S&P 500 slid 2.4 percent and the Dow fell 2.4 percent to stop at 12,932.73. However, it was a good day for gin makers like Smith & Wesson Holding Corp. whose stocks pushed up 9.6 percent to $10.37 amid speculations that the US government can place some strict rules in place as far as civilian purchase of guns is concerned.
The Situation in Europe
The situation in Europe is getting more and more volatile with every passing day. Instead of recovering from the debt crisis the region seems to be sinking even more in crisis. The recent protest by Greek citizens in front of the Parliament has been strongly dealt with by the government but the Greek Prime Minister is fighting a tough battle to get an approval on the austerity measures demanded by the lenders.
This is tumultuous time for the world economy. Though the unemployment rate has gone down significantly in recent months in United States, the stocks show no sign of hope. The binary traders though still confused about the market condition want some more time before taking any firm decision. However, the economic condition in Europe and in parts of Asia is not allowing them to arrive at any distinct conclusion. Germany that is supposed to have managed to stay largely unaffected by the economic crisis is showing signs of tension and it is not known when everything is going to be all right.