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Reasons that are going to make this week jerky for Wall Street




Most of the market analysts and investment strategists are suggesting the investors place their bets carefully in the US market. Most of them have predicted a market crash like the year 2008.  Most of the investors are not aware of the reasons behind the jerky movements of Wall Street stocks. Let’s see them at a glance.


At the end of the last week, coronavirus cases have surged again in the US. The US hit the record Covid-19 cases past week with more than 83,000 new cases of infections. When the investors are looking for vaccine and recovery, the government has to impose restrictions again. This is going to affect the businesses from all the sectors. Ultimately the situation will halt the economic growth of the United States.

Uncertainty of Stimulus package

This is the most important fact behind the jerky performances of stocks. The market is showing stimulus-dependent movement during the past one month. Analysts have also predicted that, if the stimulus does not come or the size of the stimulus is insufficient, the market may collapse. The election is very close, but still, there is no confirm news regarding the stimulus package. This may brigs the market down this week.

Election result

The outcome of the presidential election will affect the market, but it is hard to predict. Investors have priced in a victory of Joe Biden. The chance of winning of former vice president is 63%, according to an opinion poll. The market may go to green after Biden’s win. But market analysts have warned that predictions often prove themselves wrong in the stock market. There are a lot of examples, including the win of Donald Trump in 2008.

So, this trio has put the US market in a black-whole of uncertainty. Even the market analysts are not sure about the post-election conditions of the US stock market. This is creating fear in the investors, and we are going to see a bumpy week in Wall Street.

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