The Wall Street has performed tremendously up till now where the S&P 500 index tested its 1800 level as we mentioned that it would once it breaks 1792 mark; moreover, the Dow Jones index gained and hit a record high at 16000 level. Just hinted in our previous reports that the market is about to give huge a bearish correction, Carl Icahn – a prominent investor – stated yesterday that he sees the markets falling now and immediately the SP500 index fell from 1798 level down to 1784 mark within minutes.
Investors are seeing this type of movement as a market moving attempt or manipulation, which may benefit in some way to the person who is stating this. Previously, Carl Icahn stated that he had a good amount invested in Apple and after that the shares of Apple rose quickly within a few minutes.
Just at the start of London session here on Tuesday, the SP500 index continuing to drop after its 50% bullish correction of yesterday’s fall, where the ‘idea’ that the market is about to fall or would fall has sit in the minds of the investors. Therefore, we may see that the sentiment becomes bearish even regardless of what economic indicators may show in these days.
The Asian stocks gained early this morning where good impact was seen in the market as the economic reforms of China signal that they would boost growth in the market. China Life Insurance stocks soared by 5.2% as the firm is now named by the Citigroup as one of the companies who would benefit from the reforms made by Communist Part.
Olympus Corp. also managed to witness the 3% rise in their shares in Tokyo after the report in the newspaper stated that the firm will be increasing its endoscope production capacity by around 30% in the near future.
The reform by the Communist party in China reflects that more and more private investments would be encouraged in the state-run industries, while on the other hand easing the one-child policy and alongside that expanding the rights for the farmers on lands.
To contact the reporter of this story: Jonathan Millet at email@example.com