The U.S. stock market remained sluggish on Wednesday where it reversed its gains as the investors see U.S. economy getting in shape, which may probably lead to stimulus tapering in September. However, no as such hint has been given yet by any credible personnel so far and the market is still moving in its range area of the 1680s.
Unemployment claims are due on today in the U.S. session, which may further determine as to how consistent this recovery has been in the labor market and if it needs further assistance from the side of the Federal Reserve or not.
Macy’s Witnesses Sudden Loss
The departmental-store giant – Macy’s – faced nearly 4.6% losses, as the company cut the forecast for its profit in the year 2013, where the major reason behind this was less than expected sales in the second quarter of this year. Meanwhile, the uncertainty and instability is certainly there about the consumer spending power over the discretionary items. After this plunge, the share price of Macy’s has fallen to $46.28 a share, where buying at this level does not sound to be a good idea. However, sales are expected to increase in the fourth quarter of this year due to Black Friday and Christmas season, which may be a good time to long the stock.
Manipulation Just Gone Sweet
The share price of Apple gave a sudden bullish spike on Tuesday where it gained nearly $20 a share after more than a 4% gain as the billionaire investors – Icahn – tweeted that he has a major position open in Apple stocks. The share price soared from $474.5 to $496, where the technical levels did not allow the bulls to take control over and bounced back from $500 psychological level.
This apparently was a market manipulation to some extent where posting such statements regarding their portfolio or investments on a public forum does not seem to be fair.
On the other note, the investors are bracing themselves to go long on the Apple stock as the company is getting ready to launch its new iPhone in the coming month (September) which most probably would delight the consumers with some new innovation available in their hands. Provided that the share price manages to break above $506 level and sustain above it, the bulls may take it further above till $521 and then $545 in a medium term period this year.
To contact the reporter of this story: Jonathan Millet at email@example.com