US Market Takes a Breather

The past few days have been very dramatic in terms of Real Estate Events,  shares in Europe and Asia rose on Thursday and the following Wednesday US Federal Reserve surprisingly announced that it will not, as expected, start reducing its $85 billion-a-month bond buying stimulus measures.

But in the same week on Thursday, US Stocks took a breather when the Dow Jones Industrial and S&P 500’s average hit their all-time high on Wednesday afternoon.  Also, Internationally, MSCI’s share index across the globe rose to an almost of 1% reaching a five-year high on Thursday. The index tracks a total of 45 countries.

Comparing this with the US, the Dow Jones Industrial average just edged to a percentage of 0.26 and the S&P 500 dropped 0.21%. The Nasdaq edged up 0.15%. Agilent Technology’s shares gained a percentage of 3.4% after the statement that the company is going to split into two companies. Similarly Rite Aid shares soared more than 23% after the drugstore chain saw a ride in sales and profit forecast.

Shares of Walt Disney saw a decrease of 2% when Morgan Stanley downgraded their rating.  JP Morgan Chase shares also fell to 2% after it was reported that the bank is going to pay $920 million in penalties to regulators for settling liabilities from the “London Whale” derivative loss in 2012.

In Europe and Asia on Thursday, traders appeared to be shrugging off the Fed’s reasons for continuing the bond-buying stimulus; the central bank is concerned about the strength of the U.S. economic recovery. The bond-buying stimulus program known as “quantitative easing” has supported the financial, securities and housing markets and helped keep interest rates historically low.

For more information on the global property market, head to MIPIM March 11-14, 2014 in Cannes. Contact EAS for the best in meeting space, special events, hotels, rental apartments, luxury accommodation, marketing and event management. For further information, click here.