Thursday, August 28, 2014

Economic Journal - Thursday, 8/28/2014



(As of 7:20 am PST)
 
US stocks are lower in early action as worries over renewed tensions in the Russia-Ukraine conflict overshadowed positive economic data at home.  News that Russian forces had entered and taken control of a coastal town in Ukraine sent markets lower right at the open.  Positive US economic data wasn’t enough to lift stocks but is worth noting. The second estimate of US GDP showed 4.2% growth in the second quarter, a strong reading and well ahead of estimates of 3.9%.  Jobless claims also beat estimates with last week’s claims dropping to 298,000. Most major global indexes are down on the Russia-Ukraine news with Asian markets closing in the red, and European markets firmly lower as well. Gold and oil are higher while interest rates took a dive on a “flight to safety.”  After three straight days of gains it looks like today we could be in for some profit-taking.

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