The stock trading situation got volatile after the federal government made several mortgage cuts. This led the stocks of the United States to plummet by as much as one percent. And how this affects the world is another matter altogether.
The Federal government cut over $10 billion per month leading to crisis and disruption in the stock market. The volatile conditions engendered by this action caused the stocks to take a nosedive by a percentage point. And while on paper this may seem infinitely small, in fact it has a very real effect on the ordinary world of economic transactions.
The free enterprise market currently is in a state of chaos. It seems to be a failure of capitalism. The S&P 500 spiraled by 4%. Meanwhile, the shares of the Boeing Company were a source of attrition for the Dow Jones Average. However, with the passage of time the US economy is expected to improve.
The Feds took the escape route and this badly affected the economic pie for society. Lethargic growth rates in China are an offshoot of this slowing down in activity in this part of the hemisphere. Facebook on the other hand was doing quite well.
The social network owned by Mark Zuckerberg has really got the world in the palm of its hand. Maybe that is because it fulfils such an important purpose in today’s atomized world of fragmented relations. The NYSE and Nasdaq have both many companies and firms in a slump right now. In fact, the enterprises that show a marked decline outnumber the successful ones by a three to one ratio.