Stocks and exchange traded funds (ETFs) are on the hunt for
direction this morning as the euro sank to a four-year low and the
jobs report continued to disappoint traders who expected more.
After falling below 10,000 for the first time in in three
months, the Dow Jones industrials and other major indexes are
improving early Monday. With a remaining concern regarding last
week's jobs report, and no substantial domestic news due out early
in the week, investors could turn their attention elsewhere: the
euro and the Gulf of Mexico oil spill are two likely topics.
However, with the Fed's beige book (a regional assessment of the
country's economy) due Wednesday, and the weekly unemployment
report due Thursday, investors won't have to wait long for a
further look into the state of the domestic economic recovery. [
Euro ETFs: More Trouble Ahead?
SPDR Dow Jones Industrial Average (NYSEArca:
Commodities continued to struggle early Monday, as gold declined
and oil losses extend to $71 a barrel fueled by the continuing debt
crisis in Europe and the U.S. jobs report. Overall, the contract
for July crude lost $3.10 to settle at $71.51, as oil traders often
look to stock markets to gauge investor sentiment and most Asian
and European indexes plummeted Monday. [
The Long and Short of Oil ETFs.
United States Oil (NYSEArca:
After the euro's near 20% plunge against the dollar in April,
reports show manufacturing in Germany improved for a second month
with European goods now more competitive in the global market,
soothing concerns that the economic recovery is faltering.
Contributing to the rebound was news from Hungary that toned down
comments made last week regarding a potential default, which sent
the S&P to its lowest level in four months. [
Hedge Euro Currency Risk With ETFs.
iShares MSCI Germany (NYSEArca:
Aaron Hurst contributed to this article.