Saturday, May 8, 2010

The second "Black Thursday"?

Well, it has been a horrible week for investors. The US markets plunged and ended the week horribly. The Dow Jones Industrial Average slid over 5.5% for the week. This huge plunge sheds all the gains so far this year.

Especially on Thursday, where the Dow lost over 900 points in a matter of minutes. This is the largest drop in the history of the Dow in a single day. The reason(s) for the huge fall are still being debated. The Greek crisis? A trader's mistake? Or a computer glitch? The market slide then caused investors to lose confidence and this sparked a huge sell-off in the markets.

I do indeed feel rather shocked by this sudden event. Although it is probably not a single person's fault or the fault of anyone, many people have been severely affected by this. Investors and traders would have lost a lot of money in the sell-off and this would affect them greatly financially. Therefore, I sympathize with them and I hope that the markets would recover soon.

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