Increased trading and demand of durable consumer goods
Yesterday, Tuesday the 25th of June 2013 reported an increase in American Stock exchange indices.
Daily results of key american stock exchanges such as the Dow Jones, the S&P 500 and Nasdaq would eventually arrive at a positive of 0,69%, 0,95% and 0,82% respectively.
The increase in stock value follows an earlier online reported loss but eventual stabilization of the above-mentioned indices, with a corresponding rise of 0,3%, 0,28% and a minor loss of 0,22%. Much to the relief of shareholders, the earlier announced measures by US Federal Reserve’s Ben Bernanki, regarding a slowdown of the repurchasing of bonded assets, for the moment appear to be of only minor and temporary effect to stock prices.
Assumed causes of the rapid regeneration of stock value are an expected, yet timely, improvement of a number of key macro-economic figures. According to Forex source Kevin Jin, the US consumer confidence index will achieve a respectable 81,4 result for June as opposed to an earlier estimate of 75.1. Moreover, the domestic Case/Shiller housing index reveals a record in the price of new homes for the first time in five years.
The above-mentioned positive news is corroborated by an increased trading and demand of durable consumer goods and a steady rise in sales of new homes. The latter of which is a strong indication for US economic recovery, as it crucially boosts demand in housing materials and creates related job opportunities in construction. However, the Wall Street Journal stresses a continued rise in mortgage rates, that have the potential of significantly discouraging sectoral market recovery.
