Monday, December 22, 2008

Stocks fall on grim outlook for 2009

Stocks in New York fell almost 2% today on the broader averages as a growing number of forecasts indicated another tough year for 2009. The Dow bounced off its intraday lows and closed at 8519 and the S&P ended at 871. Indian stocks also lost ground today as the Nifty weakened at the end of the day to close at 3039 and the Sensex at 9928. The pullback was no real surprise, especially in the US with the Moon squaring the nodes.

We may see a bounce tomorrow however. India looks quite negative at the open, so the Nifty will likely trade below 3000 before noon. However, a close in the green is still possible. And it's possible that sentiment will fully reverse by the close in New York with more upside possible by Wednesday.