Summary News

News

Fromthe news, it has been indicated that there were reported losses inthe stock market after there was a delay in stimulus by the EuropeanCentral Bank. According to comments made by the bank’s president,investors had interpreted the comments to imply that there was goingto be no stimulus until 2015. However, later during the day, therewas a consensus building, which indicated that stimulus wasforthcoming. Following the speculations that stimulus would beprovided in 2015 by the European Central Bank, the stock marketsperformed poorly. For instance, Dow Jones industrial average, theStandard &amp Poor’s 500-stock, and Nasdaq composite indexdeclined by several points. The news indicated that energy stocksincluded the stocks that were largely affected. The S&ampP. 500’senergy sector lost approximately1% (www.nytimes.com)this was as a result of a decline in oil prices. Both the crude oilset to be delivered in January, 2015 and Brent oil, which is astandard for global oil prices, dropped. The plan, which the EuropeanCentral Bank has in order to enhance the economy, is quantitativeeasing. However, it is uncertain whether the plan will revive theeuro-zone economy.

Newsfurther indicate that November jobs report would become a chief focusin the U.S. economists project that the report will show animprovement in job opportunities and a slight decline in unemploymentrate. In addition, there is a speculation that the number ofindividuals that file for unemployment benefits will drop accordingto the labor Department. In addition, the news further indicates thatthere was a rise in the U.S. government bond, but the yield on a10-year treasury note declined (www.nytimes.com).

WorksCited

AssociatedPress. Europe’sStimulus Delay Weighs on U.S. Markets, NewYork Times,Dec. 4, 2014. Retrieved fromhttp://www.nytimes.com/2014/12/05/business/daily-stock-market-activity.html?_r=0