Notching up 4,017.75 points yesterday, the Nasdaq – the world’s biggest electronic market with some 3,200 listed values, namely including Apple, is continuing its rise over the 4,000-point mark. And for once, the Stock Exchange, a yoyo-like instrument that ascends and falls depending on economic or climatic information, or even mere rumours reaching the ears of investors, bases today’s situation on concrete realities.
“Investors have reacted to mixed data on disappointing levels of consumer confidence but also encouraging figures for real estate,” comments William Lynch of Hinsdale Associates, an Illinois-based financial corporation. He believes however that “concrete news count more than vague indicators.”
Increase in building permits
Building permits granted in the United States leapt up by 6.2 % in October, settling at their highest level in the last five years. They numbered 1.034 million, an unparalleled number since June 2008, after also rising in September, by 5.2 %, according to figures also published on Tuesday.
Like other US indexes (Dow Jones, NYSE), the Nasdaq – dominated by mid-sized companies – also benefits from the psychological fallout from the Iranian nuclear agreement. The compromise entailing less Middle East tension bodes for an ease in
Finally, certain Silicon Valley groups have seen their values swell up in one year, sometimes by over 350 % as in the case of Netflix, the online video distributor. On the other hand, this positive bounce back of confidence that is spreading to American consumers has not yet crossed the Atlantic to have an impact on European indexes. The French CAC 40 is still at its habitual 4,300 points. Until tomorrow at least.