Dow Jones gone into deep shit as affected by Greece Debts Crisis. Dow Jones Industrial Average closed down over 200 points on Tuesday as concerns about a eurozone debt crisis prompted heavy losses in the financial sector. The Dow fell 213.04 points or 1.9% to closed below the level of 11,000 and ended the day at 10,991.99, suffering its WORST DECLINE since Feb.4, 2010. The Nasdaq composite drop 2.04% and the Standard & Poor 500 index skidded 2.34%.
The Eurozone countries that facing debts problem are Greece, Spain and Portugal. Spain, which is trying to emerge from a steep recession following a housing bubble, is running a 11.2% budget deficit. That compares to Portugal's 9.4% deficit and Greece's 13.6% deficit.
Europe's act in respond had led investors selling off Greek debt, and causing Greece more expensive to borrow money, and negative images. And the worry now is that this process will be repeated in Portugal.
Furthermore, the €45 billion aid package for Greece from the EU and the International Monetary Fund could be delayed by political in-fighting in Germany, which Germany is to provide about €8.4 billion of the EU's €30 billion in rescue loans. As the opposition in Germany is criticizing the rescue plan and opposing Chancellor Angela Merkel's commitment to come to Greece's rescue. This was mainly due to the Propoganda by the political party because Germany was in the midst of a campaign for a crucial regional election set for May 9 that could influence the balance of power in Germany's national parliament.
All this problems had pro-long and pissed-off investors to sell and causing the market to panic and facing heavy selling pressure.
In this case, the stocks that pull Dow Jones down are mainly financial stocks such as Citigroup, Bank of America and others. Chances are on Citi, buy when it deeps. Hehe.
The Eurozone countries that facing debts problem are Greece, Spain and Portugal. Spain, which is trying to emerge from a steep recession following a housing bubble, is running a 11.2% budget deficit. That compares to Portugal's 9.4% deficit and Greece's 13.6% deficit.
Europe's act in respond had led investors selling off Greek debt, and causing Greece more expensive to borrow money, and negative images. And the worry now is that this process will be repeated in Portugal.
Furthermore, the €45 billion aid package for Greece from the EU and the International Monetary Fund could be delayed by political in-fighting in Germany, which Germany is to provide about €8.4 billion of the EU's €30 billion in rescue loans. As the opposition in Germany is criticizing the rescue plan and opposing Chancellor Angela Merkel's commitment to come to Greece's rescue. This was mainly due to the Propoganda by the political party because Germany was in the midst of a campaign for a crucial regional election set for May 9 that could influence the balance of power in Germany's national parliament.
All this problems had pro-long and pissed-off investors to sell and causing the market to panic and facing heavy selling pressure.
In this case, the stocks that pull Dow Jones down are mainly financial stocks such as Citigroup, Bank of America and others. Chances are on Citi, buy when it deeps. Hehe.
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