Understanding a Confusing Market…Inside and Out

With a lot of variables in play during this earnings season, it's time to separate out the components. The long overdue stock market correction continued this week as a European growth scare was compounded by fears about the potential spread of Ebola to send the markets lower. A strong rally on Friday allowed the major stock market indices to stabilize for the moment and show relatively minor damage on the week, but many hedge funds suffered larger losses after being forced (or forcing themselves) into realizing losses as the markets reached a selling climax on Wednesday, October 15. That day, the Dow Jones Industrial Average traded down 470 points at its low before recovering to close down only 173.45 points. The post Understanding a Confusing Market…Inside and Out appeared first on Money Morning - Only the News You Can Profit From .