A Note On The Stock Market

For example I immediately bought Disney, Apple, and, Amazon before anything else, due to the success I knew each of these companies have had in the past. After running out of companies I knew had stock on the exchange, I started doing research on stocks I might want to purchase. This was especially necessary for mutual funds, which prior to starting the stock market game I had very little to no knowledge about. I found that in the long run, the stocks that I had the most success with were stocks that I had had some previous exposure to. Amazon especially was a great success.

As a future business leader, I chose to read the book “The mind of the Market” by Michael Shermer When I first purchased this book I didn't know what to expect, I just knew that I had a series of questions from my macroeconomics, sociology, and history class that would like to explore.

In the beginning, there was no real stock market. However stock exchanges did take place in smaller groups and corporations. This all took place during the 1700's where stocks were already around for a long time before that but it wasn't really popular in the United States. Stocks originally started as auctions where traders called out names of companies and the shares available. There was a auction that took place and the shares went to the highest bidders.

The stock market has always intrigued me and I have since been eager to learn more about it. Starting back in January of this year, I ordered three textbooks on stock trading to become more informed on the subject. After reading these books, I gained further insight on stock trading which led me to open my own brokerage account where I could buy and sell stocks. I started by playing a stock simulation which was very similar in concept to StockTrak, a program we used in this class. I found that this helped provide me with a hands on experience which helped familiarize me with stock trading and learning how to manage and use my money efficiently. I continued to play this simulation for about two months and during this time my portfolio grew about 4%, which provided me a confidence boost and motivated me to invest in my real money into the stock market. In March of 2015, I officially began trading in the stock market and I continued to learn along the way. As of now, I have roughly nine months of stock trading experience. As stated previously, I have always had in interest in the stock market, but I never acted upon it until as recently as earlier this year. My interest in the stock market was peaked because I enjoy taking risks and the stock market

However, the United States was about to recieve a huge shock when the stock market suddenly took a turn

The stock market heavily influences the strength of an economy. The new president’s plans for the American economy have prompted investors to start buying and investing again. According to USA Today, the “Trump Rally” was what put the Dow Jones average back on track.

This article presents the fundamental reasons behind the Fed’s cautiousness in raising the interest rates, why it is more likely that interest rates will rise in December, and what some possible outcomes of rising interest rates could be.

Over the past year we have gone through many changes politically, environmentally, and more. The main change occurring today is the Federal Reserve’s control on monetary policy which affects the interest rates and money supply all caused by the buying or selling of government bonds. The Federal Reserve needs to raise interest rates because they have “remained relatively slow by historical standards” (Binyamin Appelbaum, July 7, 2017). However, the inflation rate and rate of growth in GDP have been relatively low, restraining the Fed from raising the rates too high.

Finally, the process of normalization has begun, and seven years of zero interest rate cycle came to an end in December 2015 with a hike of 25 basis point by the Federal Open Market Committee. It was a much anticipated move for a while, and now the debate is on the roadmap of future interest rate hikes. Several economist, analyst, and media personalities have expressed a variety of opinion on both ends of the rate hike. Should the Fed continue to raise interest rates now, is the question of global consideration. In my opinion, Fed should continue to raise interest rate now to help the economy grow more independently and build up consumer confidence.

The upcoming presidential election in the US has been making the stock market very volatile. The investors are scared that, if Donald Trump becomes the next president, it will affect the business investments, which in result may put the economy in a recession. His policies for deporting 11 million immigrants, building a wall and starting wars with other countries are some of the few reasons as to why many economists believe that the US economy would shrink by 1 trillion dollars over five years; also, they believe that his policies will destroy 4 million US jobs. This unpredictability of who is going to win the election is making the investors very cautious. This is referred to as the “fear gauge” on the Wall Street. The S&P 500, which is the

With the recent election of Donald J. Trump as president of the United States has also come with it changes in the stock market. One stock in particular that has benefited from this result is Caterpillar. Many of the plains outlined in Trumps campaign included improvements to infrastructure, less regulations on mining and energy production, and the wall that is said to be constructed along the U.S Mexico border. This has caused an increased interest in this company as its products or products similar to these products will be required in the construction of these projects. In anticipation for these projects investors have responded by purchasing Caterpillar stock. It appears as though investors believe that it is indeed a good time to own stock

For the month of December, I was given an assignment consisting of $100,000 and four stocks to invest in. My four stocks were The Ralph Lauren Corp., Visa Inc., Master card Inc. and The Chevron Corp. As stated I was given a month to record my data and I ended up with a total capital gain of $5,518.36 for the one month period for my investments. I have to thank you Mr. Acker, this project was not difficult, but it did confuse me. Receiving this assignment scared me in a way, because I didn’t know what I was getting into. The finance world is scary and tricky, one minute the market is doing good and other days it would be low. While calculating my capital gains or losses I thought I would lose a larger

According to Elliot and Inman (2010) the American government announced that it would pump in additional money to help the ailing US economy for at least eight months. This is in an effort to accelerate growth and cut unemployment. In a speech by Bernanke on 3rd February 2011 to the National Press Club, the quantitative easing has been a great success. There has been massive increase of speculation in stock markets. Increases

there were good indications of market recovery and tightening of credit spreads which meant higher

Stocks were rising on expectations of economic recovery later in the year, and bond prices fell as their yields increased (bond prices and yields are inversely related). The yield on the 2-year notes and 10-year notes, which are heavily influenced by the Fed-regulated interest rates and inflation expectations, respectively, increased from .76% to 1.4% and 2.25% to 3.93 during the same period, respectively. Concurrently, the S&P 500 had gained 4.8%, rebounding 40% from March lows.