Markets were open in the US on Monday with mixed news from the markets. The Dow Jones Industrial Average went far into the red during trading but managed to pull back by close of play, losing almost 0.5%. The Nasdaq had a good day of gains with hopes of recovery came from the technology sector. The Nasdaq 100 notched up gains of almost 2%. There was great news from the manufacturing sector - the Institute of Supply Management Index rose to 55.6% in March. This level has not been seen in almost 2 years and provides evidence of growth.
Tuesday saw a massive reversal of fortune for the Nasdaq with technology stock profit warnings, leading to more losses for the Dow Jones. By close of play the Dow Jones was down 0.5%. The Nasdaq 100 dropped 4.6%! There was disappointing news from the factory orders data. Orders actually fell by 0.1% in February after notching up two consecutive months of gains.
Wednesday saw another close in the red for the Dow Jones, this time to a low not seen in over a month. Unfavourable earnings news and increasing trouble in the Middle East did not help. The index closed over 1% lower. News was no better for the Nasdaq 100, it fell by just over 1%. Analysts believe that investors are concerned with first quarter earning news not being good enough.
Thursday saw an unexpected jump in the unemployment numbers for the week. However, the Labour Department said it was because of an extension, allowing people to collect claims. Nevertheless, the Dow Jones Industrial Average managed to break the four day habit of losses, to end with a gain of almost 0.5%. After 2 days of slaughter, the Nasdaq 100 also managed a 0.2% gain.
Friday saw the release of mixed economic data in the US. Non farm payrolls grew by 58,000 which was more than expected. However, unemployment during the month of March rose from 5.5% to 5.7%, leaving hopes that the Federal Reserve would not increase interest rates just yet. Despite the mixed data, the Dow Jones managed a gain of almost 0.5%. The Nasdaq 100 fared worse on the back of yet more poor earnings news in the technology sector. Losses of almost 1.5% were notched up.