Wall Street Jubilant With Last Minute Relief

October 05 00:00 2011

NEW YORK, October 5 (RainbowNewsLine.com) – US stock market took a reversal in the last trading hour due to the reports of Financial Times stating European Finance Ministers are working to ease up the Greek tragedy.

This late afternoon Wall Street witnessed an unexpected reversal and S&P 500 Index defended itself from entering the red zone. After experiencing a heavy sell off pressure due to the fears of Eurozone crisis with Italian downgrade rating adding worries to global markets. A last minute surge of reports from European official stating that they are working to ease Greeks tragedy raised hopes among traders around the world.

The S&P’s 500 rose by 24.72, to 1,123.95. It had been as low as 1,074, which was 21 percent below its April 29 peak of 1,363. NASDAQ a technology-focused Index rose by 68.99 points or 3% to 2,404.82 whereas DOW closed with a gain of 153.41, to10, 808.71. The Economist mentioned while writing to its clients that European’s Crisis may cause stringent financial regulations, weaker US exports and reduced Credit availability

Head of Lamkin Wealth Management, Mark Lamkin said, “It’s not business risk that the market is concerned with, it’s systemic risk. If there truly is a solution to Europe’s problems, then we’ll set the stage for a nice rally.”

Chief global strategist at BTIG, Dan Greenhaus said,” Positive European headlines have been few and far between and ultimately, today’s rally was spurred by a headline.”