Stock market falls in front of Thanksgiving Day about the worries of Mortgage Market and the high oil price. Wall Street restarted its journey on Wednesday because of the dropping mortgage market. Dow Jones Industrial average and S&P both fell by more than 1.5 percent, Dow Jones index dropped by 210 points and ends up at 12,799.04. S$P dropped by 22.93 and ends up at 1.416.77. And the Nasdaq index down by 34.66 or 1.33 percent and finished at 2,562.15.
The stock market is in negative mood for the year because of the decline in the S&P index. Many investment policies and the value of the mutual fund is dependent on S&P. The investors are shifting to the Govemment securities for safety. For the first time since 2005 the yield of Treasury’s 10-year note dropped by 4 percent. The stock market has been dropping for several days because the investors are gauging about the reaction of the companies after the slowness in the U.S. mortgage and housing market. People worried about the recent credit market and the increasing price of oil, the oil price has raised to $99 a barrel.