Following one of the quieter weeks of this year from a stock point of view, S&P 500 and Dow Jones status after Black Friday was released, showing not that much of an increase, unfortunately.
The Dow Jones, or by its full name, the Dow Jones Industrial Average was founded in 1893 and is still to this day one of the oldest and most watched stock index worldwide. The Standard and Poor 500 index, on the other hand, is just a stock index which is commonly watched in the US, due to its accurate representation of the stock market. This index is a bit younger when compared to Dow Jones, being created in the form we all know today in 1957, even if its concept was introduced 24 years prior, in 1923.
Taking into account the massive sales which lasted not only on Black Friday but throughout the whole week in some cases, sometimes even extending into December with the well-known Cyber Monday, stock market aficionados were expecting a relatively high increase in both indexes.
This was not the case, with both of the stock market indexes showing a growth of lower than 1% when looking at the total of their return basis. The sector which was the hardest to be hit during one of the year’s slowest months was the Utilities one, showing a steady decrease of 2% over the investigated period.
In foreign stock markets, Asia is still trying to make the stock move, while at the same time being halted by the Chinese stock market who at the moment is conducting investigations regarding several brokerages. On the other hand, the European stocks have shown a steady increase, making them the ones with an edge during this holiday week.
One of the main reasons why a larger movement hasn’t been seen in US stocks is the fact that at the moment investors are awaiting new regulations and policies following the global climate related conference which is being held in Paris starting this Monday.
The aforementioned conference might have a huge impact in automotive car manufacturing and development in the coming years, as well as the oil industry, which has been suffering a bit as of late, with prices for oil rising during last week. A reason for this price growth was an Organization of the Petroleum Exporting Countries conference which is planned to be held this week as well, making investors take positions ahead of the regulations which will be coming along with it.
Even if the stock market as a whole finished in the black, the S&P 500 and Dow Jones status after Black Friday was not capable of reaching their expected values, even if they as well were in the black, along with other stock indexes worldwide.