Experts predict negative mood on Wall Street. Source: AP
HB NEW YORK. The Wall Street lie ahead in the coming week further turmoil: Investors anxiously watching the economy and fear the escalating public deficits in Europe. Confidence in the stability of the euro area can be given after the debt crises in Greece, Portugal and Spain. Also the unresolved future of the health burden and financial reform in the United States. The recovery of the largest economy in danger under the weight of a record deficit and high unemployment does not really get going.
Many analysts expected after the rally of recent months anyway with a downward trend. "The negative sentiment in the short term," said Eric Kuby at North Star Investment.
The enthusiasm from blade and it was difficult for the market to move forward. During the last two trading days last week, the Dow Jones fell below the two major investors of 10 000 points. The S & P index broke through 1085 points to a key mark and finished the fourth consecutive week with losses. Market players estimate that the barometer could fall up to 1036 meters, it would be ten percent below its peak of 19 January.
After the revisions in July and October 2009 the market had regained with the help of bargain hunters back on the upward path. On Friday evening, there were first signs that make many investors already back on the search for low values, especially in the technology and raw materials sector. "If everything looks black, one should keep eye out for good," says Ron Florance of Wells Fargo.
"Corrections are like diets. You are never really beautiful, you really hate them, but at the end of the year we see better and feel healthier themselves. "
Next week, companies like Coca-Cola, PepsiCo, Marriott and Walt Disney will submit their quarterly results and shed light on the issue of consumer delight. The January retail sales are expected as data on stocks Thursday. On Wednesday, U.S. Federal Reserve Chairman Ben Bernanke to a committee in the House of Representatives to give information about how he wants to curb the extensive aid crisis, the Fed again.
Last week concluded the U.S. stock markets again with losses: The S & P 500, down 0.7 percent at 1066 points, the Dow Jones index minus 0.6 percent at 10 012 points and the Nasdaq down 0.3 percent at 2141 points.