U.S stocks begin the week in downfall
U.S. stocks closed in the red but remained little changed on Monday as concerns for global economic growth continued to flare.
Investors will be warily eyeing Europe's ongoing debt crisis, as business sentiment in the the European Union remains grim. Investor await Central Bank President Mario Draghi to meet with German Chancellor Angela Merkel in Berlin on Tuesday, where they will discuss the state of the euro.
On Monday, in her speech at the Peterson Institute in Washington, the head of the International Monetary Fund Christine Lagarde urged European policymakers to form their centralized bank authority and carry out their European Stability Mechanism program, a planned €500 billion fund to aid the debt-ridden members of the 17-nation currency union.
Concerns as to Europe's ongoing crisis have caused the euro to keep losing ground against the greenback, while the dollar itself has dropped against the British pound and Japanese yen.
It has been a weak start for the market, as all three major indices declined: the S&P 500 closed with a 0.22% loss, from 1,460.15 to 1,456.89; the Dow also pulled back, dropping 0.15%, from 13,579.47 to 13,558.92. Nasdaq also shed 0.60%, slumping down from 3,179.96 to 3,160.78.
Across the Atlantic, European stocks also closed in the red on Monday: Germany's DAX shed 0.50%, France's CAC 40 slipped 0.98%, and Britain's FTSE 100 posted a 0.24% loss. Across the Pacific, Asian markets closed mixed on Monday: the Shanghai Composite gained 0.33%, while Hong Kong's Hang Seng shed 0.13%, and Japan's Nikkei fell 0.45%.
Today's Forecast: Grim outlook for U.S indices
U.S indices started the week in the red, all three posting losses upon closing on Monday. NextCandle.com expects a quite similar fate for all three U.S indices on Tuesday: the Dow was given a 71% probability of hitting a lower target, slipping down from 13558.92 to 13521.68; the S&P 500 was given a 70% probability of hitting a lower target, dropping from 1456.89 to 1452.06; Nasdaq, was given a 67% probability of hitting a lower target, falling from 3160.78 to 3150.71.
Bull's Eye: eGain Communications Corp (EGAN) sinks deeper
In exact accordance with NextCandle.com's prediction, eGain Communications Corp (EGAN) slumped on Monday, closing the day's trade at $4.48. In its downfall, eGain Communications Corp (EGAN) also hit its forecast monthly lower target of $4.51. The company's fate should be no better on Tuesday, with a staggering 91% probability of hitting a lower target, crashing down to $4.4.
Hot Stocks: Google Inc (GOOG) hit an all-time high
Google Inc (GOOG) hit an all-time high on Monday, breaking its record since November 2007, and also hitting NextCandle.com's forecast weekly higher target of $734.92. The company closed Monday's trade posting an impressive 2.10% gain, reaching up to $749.38. NextCandle.com expects Google Inc (GOOG) to keep it up on Tuesday as well, with a 77% probability of hitting a higher target, climbing up to $750.04.
After a rough second quarter, John Bean Technologies Corp (JBT) managed to pull itself together and has been steadily rising since the beginning of the summer. So far September has been a good month for the company, which has risen over 7%. John Bean Technologies Corp (JBT) posted impressive gains on Friday, and has remained practically the same since the beginning of the week. NextCandle.com expects the company to keep it up, giving John Bean Technologies Corp (JBT) an 80% probability of hitting a higher target, rising up to $17.32 on Tuesday.
Although Neonode Inc (NEON) indicated impressive growth in the second quarter this year, the company has been in steady downfall since the beginning of the summer, particularly in July and August. The past week has been rather shaky for the company as well: after an impressive 4.29% gain on Friday, Neonode Inc (NEON) erased all of its gains with a spectacular loss of 6.54% on Monday. NextCandle.com foresees another grim day on Tuesday as well, and gave the company an 84% probability of hitting a lower target, slumping below the $4 threshold down to $3.8.
Grim outlook for U.S indices
25 September 2012