June 24, 2011 Weeks Result: NASDAQ Up, DJIA and S&P Down
At the end of this weeks diverse changes, the NASAQ moved ahead by 1.37 percent from last Fridays close but the DJIA lost -.58 percent and the S&P500 fell -.24 percent. Todays trading ended with losses for each of the three indices: the NASDAQ fell -1.26 percent, the S&P500 gave up -1.17 percent while the DJIA lost -.96 percent.
It was the third consecutive decline for the DJIA and the S&P500 but only the first for the NASDAQ. This pattern, only the 10th since 1999, nevertheless the last repeated occurred earlier this month, on June 3. Turning to the next day, the record shows five declines and four losses in the past.
The markets daily variability combined with a standstill in price increases indeed, declines from previous heights is resulting in apprehensions that the top has been reached. But prices are far from the last, October 2007 high. Whereas it took 1,895 trading days for the S&P500 to mend its losses from the earlier top in 2000, the current recoverys age is just 925 days.
The diagram reveals the parallel changes of these two recoveries. Casual eyeballing these two paths exposes the many similarities. Indeed, the markets current standstill seems to be happening at near the same time as in the past: halfway on its path to the earlier all-time high.
Perhaps this interpretation is wishful thinking; nevertheless, these are the facts of recent financial market volatility.
DJIA - .96 percent
NASDAQ - 1.26 percent
S&P500 - 1.17 percent
