As the Dollar's value strengthens, the products and commodities market has been hit hard, and stocks have fallen sharply as a result. Stock indexes managed to chime an upbeat tone as trading started Monday, but quickly took a plunge as early gains in oil and commodities prices contributed to a rise in the Dollar's value.
Referring to sparring between the dollar and stocks, Samuel Dedio, portfolio manager of the Artio U. S. Smallcap Fund in New York, remarked, "This is the tug-of-war that's been going on for a while now".
As the day ended, NASDAQ recorded a fall of 12.62 points or 0.6%. For every one stock that rose on the NY Stock Exchange, one fell. Sharp falls were seen on Friday as the rise in Dollar hit commodity prices.
While the sudden plunge in stocks and an unstable market has worried some, according to analysts, investors are planning to make the most of the situation and look for potential pocket gains. Everyone is hoping for the Dollar to stabilize so that the stocks stop falling. Out of the past 5 days, the market has seen a fall in 4.
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