Read a post on Yahoo! Finance today and thought it was interesting.
1. End of QE2
As we all know the $600 billion treasury securities buy up aiming to pump money into the economy has helped as the stock market rallied in the first 5 months. The QE2 is set to end at the end of June which is not very far away. It is hard to predict how this will affect the economy but it will definitely slow down our growth later this year.
2. Stronger Dollar
When I first read that I thought to myself, why is that a bad sign for the stock market? For months we talk about the weakening dollar and now we complain about the dollar strengthening? So I kept reading. So the dollar has strengthened in the past few weeks and most likely will continue to do so with the end of QE2. Some experts say that the weaker dollar makes products of multinational companies cheaper overseas, thus, increasing earnings and helped stock prices.
3. Weak economic indicators
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