It seems like it has been a lifetime since I have seen so much green again. It really makes your day that much better. Nasdaq had its biggest day since 2003 I think. I decided to see what news, factors, or anything else that might of helped cause this rally.
- Stocks were oversold: Many companies were not valued at where there prices were situated at, so something had to give; people were getting “over-scared” and just selling on any news.
- The price of oil dropped: $3 slide will always helps.
- Walmart did not lower their guidance: I think this may of had a huge impact with the rally today; it has been a while since Walmart hadn’t screwed the market over; this also helps show the consumer is not dead (I never thought they were, but perception is the key).
- Banks stayed out of the clear: Thankfully there was not much news on the banking front.
- Apple in talks with China: To bring the iPhone to China could be huge for Apple, although who knows what they already have there.
- Gold futures continued their losses: Has gone down below $800.
It is still important to understand that we may not be out of the clear yet. I have kept all my holdings through these last couple of volatile day and will just continue to watch them work the course. All and all this could just be a single day bounce. Perhaps the calm before the storm.
More on this topic
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Wal-Mart (NYSE: WMT) Stock Jumps on Strong Earnings
(Money Morning, 5/17/12)
Wal-Mart Fairly Valued at $120 a Share
(Wealth Daily, 4/2/12)
Apple Exploring Retail Expansion Within Wal-Mart and Target
(Value Investing, 5/3/12)