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Sunday, July 10, 2005

Panic and business

Thursdays terror bombs in London caused a sharp fall on the markets, eg the FDAX fall more than 150 points in a few hours during the morning. But in the aftrenoon the markets rebounced regained most of the losses of the morning and at the next day they recoveed to levels previous thurdsday. The S&P500 closing even higher then wednesday. See the chart below

The reaction of the markets and the expectations of various traders can be read here in this articele in the New York Times titled Initial Panic Selling Followed by a Numbing Business as Usual. Business as usual.







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