Stock Market News: Futures Rise Following Volatile Week
Following last week’s stock market volatility and pervasive uncertainty, the new week in the markets has commenced on a steady note.
Thus far, Monday has witnessed a calmer tone as U.S. stock market futures have been reported to be on a steady upturn.
Monday’s rise trails two previous days of sound stock future gains that come on the heels of one of the most volatile weeks the market has seen since the 2008 banking crisis.
Following today’s opening bell stock futures continued to rise with the Dow rising 115 points, and Nasdaq rising 1 percent to 2,532.
The upswing of stock futures are likely a result of businesses reporting stronger earnings, and Japan announcing stronger than expected economic activity following the March earthquake, tsunami, and nuclear crisis that devastated parts of the island.
Japan’s announcement also led to a rise in both Asian and European markets.
Today also saw Google announce that it would acquire Motorola Mobility Holdings, the biggest acquisition in the company’s history at $12.5 billion, and Time Warner Cable’s announcement that it would purchase Insight Communications Co. for $3 billion.
Regardless of today’s steady rise and major purchases, the global economy is likely to remain shaky. Gold, the safe haven of investment, is apt to remain on a steady incline as the markets have proven to be unpredictable and unreliable.
Gold has been making its investment come back for several years now and companies such as eBay have reported a steady upsurge of gold and silver purchases in recent years.
The company argues that the incline is a result of investors attempting to both secure and diversify their holdings.
Jacob Chandler of Great Southern Coins, the largest seller of precious metals on the online shopping website has said of gold, “When people are coming down to the question, ‘Do they want to have cash in the bank or gold in their hands?’ the answer is they’d rather have gold or silver.”
Meanwhile, some market analysts argue that today's upsurge does not represent a shift way from market volatility, but rather is the calm before the storm.
