Cyprus sentiment again for Wall Street experienced a correction

J Erna

Sindonews.com -stocks on the Wall Street stock exchange on Thursday local time trading ended following the Oracle Corp. earnings rectified that far from expectations. In addition, sentiment about the issue concerns Cyprus in European zone also became the trigger.

shares of Oracle Corp. (ORCL.O) slumped 9.7 percent to USD32,30, and became the biggest correction in the Nasdaq, a day after a disappointing revenue doubled due to sales under the target.
It was the biggest decline since December 2008.

The greater the stock correction at the end of the session following concerns over the financial condition in Cyprus are increasing. This happened right before the credit rating becomes junk level trimmed Cyprus.

The European Union gives the limit for Cyprus until Monday next week to get a Fund of funds untukmenyiapkan bailout of 10 billion euros or face a collapse of the financial system and possibly out of European contention.

"I think the way is not going to be a quick solution to cope with the situation and it is not easy to predict what will happen. The uncertainty will make investors sell stocks, especially in a market that has experienced a rise in two weeks, "said Wedbush Securities Equity Trading Director, Michael James, as reported by the Reuters, Friday (22/3/2013).

Investors fear a collapse of the banking system in Cyprus will tighten credit in the European zone and into other hambata to get out of the economic crisis. This adds to the concern, the u.s. economy data also cannot reach the target expected.

While The Dow Jones industrial average (DJI) was down 90,24 points or 0,62 percent to,49, The Index 14.421 Standard & Poor 500 (SPX) dropped 12,91 points or 0,83 percent to 1.545,80, and Nasdaq Composite Index (IXIC) lost 31,59 points or 0,97 percent to 3.222 .60.

(rna)

Finance; Investment; Business; Economics

Finance; Investment; Business; Economics

Minimal positive sentiment, JCI potentially continue weakening

Dana Aditiasari

Sindonews.com -composite index (IHSG) predicted it will move in a range of 4,774-5,195. With the black candle patterns are formed over indicates a bearish reversal JCI.

Head of Securities Research, Edwin Sebayang MNC argues, JCI will potentially positive sentiment so skimpy returns continue weakening. "The lack of positive sentiment in the country amid the slowly began to obtain net foreign sell as well as increasing risk in the global market due to uncertainties in the European zone becomes potentially negative factors JCI back down," said Edwin, Friday (22/3/2013).

The precarious situation currently in Cyprus Cyprus banking until the lid is marked next Tuesday as well as the stock exchanges closed until next Friday and the onset of the withdrawal restrictions via ATM a maximum of 260 euros per day to cope with the high demand for money that led to long queues.

In addition, the plan of implementing capital control on next Tuesday after opened banking to prevent capital outflow and the insistence of the European zone to Cyprus took a decision next Monday whether the day immediately accept or reject the bailout Fund of 10 billion euros with the consequences should implement tax on deposits that are later rejected the Parliament of Cyprus.

If Cyprus refused the precondition, then Cyprus could be "kicked" out of membership of the European zone accompanied by data mengecewakannya business expansion Germany March down to as low as 51 from earlier in February as well as 53,3 France also suffered a decline in business expansion data in March to as low as 42,1 than ever in February. 43.1

This sentiment being negative factor is the fall of Dow Jones-90,24 points (-0,62 percent) accompanied by a sharp rise in The Vix closed at + 10 percent level amid falling 13.99 US Weekly Jobless Claims to be trending down, lowest 336.000 last five years as well as a rise in US Existing Home Sales in February totaled 4,98 million units annually (the highest level of the last three years).

While the leading indicator posted a rise in three months in a row and a rise in US Factory Activity for the mid-Atlantic area in March.

(rna)

Finance; Investment; Business; Economics

Finance; Investment; Business; Economics