Markets finally managed to break a four-day losing streak, ending the day up on the eve of the start of the Fed's two day meeting. The Dow (^DJI) finished up over a 130 points and the broader S&P 500 (^GSPC) gained 0.6%. Investors are anxiously awaiting to hear whether or not the Fed will decide to ease back its $85 billion a month bond-buying program after a series of positive economic data was released recently. About a quarter of economists polled by The Wall Street Journal believe the Fed will begin tapering this week, while the majority believe it will begin in March of 2014. Stocks were also aided by the release of strong industrial production numbers for November. The Fed reported that industrial production rose 1.1% in November, the largest one-month gain in a year, beating expectations of 0.6%.
Twitter (TWTR) slid 4% after seeing its stock hit a 52-week high of $60.24 earlier in the day. The fall came after two downgrades of the social media company. Wells Fargo Securities downgraded Twitter to Underperform from Market Perform and cut it's price target to $36 from $39 price. Sun Trust's Robinson Humphrey downgraded Twitter to Neutral after it was the first company to list Twitter as a Buy around the IPO.
Tell Us What You Think!
Post something in the comments section below.