Oil and US Stocks Slide

The DJIA or Dow Jones Industrial Average and the Standard &Poor 500 along with the number of US stock indexes dipped on September 23 but regained weekly gains. Fears among investors were assuaged by global central banks concerning the possibility of the end of the easy money era. The effect of Federal Reserve declining to raise the interest rates led to the upswing of stocks, commodities and bonds. It also helped that Bank of Japan also revised its monetary policy on September 20. 

Gold prices went up steeply, registering its sharpest weekly gain from June. The US Government bonds and S&P 500 also posted excellent weeks since July. According to Peter Tuchman of Quattro M. Securities, uncertainties are in the past for significant number of investors and are re-investing in the market. Big moves were thus done and Friday was simply relaxation time. The DJIA fell 0.7 percent or 131.01 points to 18261.45. There was a decline of 0.6 percent or 12.49 points to 2154.69 by S&P 500. These indexes grew 1.2 percent and 0.8 percent respectively for that week. It was their largest gains from July 15. Drops were also by Nasdaq Composite. This exchange fell 0.6 percent or 33.78 points to scrape 5305.75. The weekly gain for the exchange was 1.2 percent. 

Energy shares were dragged down on September 23 by tumbling oil prices. There was a drop of four percent of US crude oil to reach $44.48 per barrel. This was the result of skepticism bugging whether the largest producers in the world will reach an agreement concerning production limits. According to Wall Street Journal, Iranian and Saudi Arabian officials have fought over a number of issues. This clash occurred ahead of talks on September 28 among members of Organization of Petroleum Exporting Countries or OPEC in Algeria. Even then, US crude gained two percent over the week.

For the technology stocks, September 23 saw those making decisive moves. Twitter went up 21 percent or $3.99 to touch $22.62 on a number of reports that there could be a possibility of sale of the social media company. Yahoo dropped about 3.1 percent or 1.35 to 42.80, post announcement made by the company on September 22 that hackers penetrated the network in the latter part of 2014. Facebook, the social media giant, also declined by 1.6 percent or 2.12 to reach 127.96. The company seemingly overstimated its video metric.

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