Commentary
The markets in the United States moved lower this week after jobless claims and pending home sales came in below economists’ forecasts. Jobless claims came in at 369,000 compared to 372,000 that was forecasted, while pending home sales rose only 0.3% compared to the forecasted 2.5%. But, the real driver behind the decline was poor corporate earnings, including misses by major companies like Apple (Nasdaq:AAPL), General Electric (NYSE:GE) and Amazon (Nasdaq:AMZN).
Global markets have also struggled over the past week, with unemployment in the eurozone rising to “deplorably high” levels, according to ECB President Mario Draghi. Recently, the ECB lowered its projection for economic growth in the eurozone for 2012 and 2013, while also raising its forecast for inflation in the region. The bank expects the eurozone to drop 0.4% this year and grow 0.5% next year, while inflation could rise 2.5% in 2012 ...