The global economic meltdown of late, and its effect on global news media has been felt by the financial markets. There are a number of different financial indicators that show a downward spiral as investors flee stock holdings and money is pulled out of the financial markets. Many investors are panicking and worried about the effects this global financial crisis might have on their economies. The good news, however, is that this recent loss came in September and not in January. This means that while overall losses may continue to mount, the losses have actually picked up over the past several months. While the economy may be picking up, news of massive losses in the financial markets is being swept under the rug in hopes of sparing investors from further pain.
In addition to the loss of investor confidence, the recent news stories have also affected how many people feel about specific companies in their favorite industries. One news story that made headlines recently was the case of Canadian oil giant tar sands producer Progress Energy. Investors had feared that the company would be forced to put its profitable oil assets up for sale to help pay for damages being caused in the fire that destroyed the facility. After this news broke, however, the stock price of Progress Energy began to climb and now investors have seen that the company may actually be able to recover and become profitable again.
There are a number of different ways that a news story can influence how investors and traders view a particular company. Although it is impossible to completely eliminate outside influences, understanding what makes newsworthy and not newsworthy can help you make better decisions when it comes to investing and trading on the news. Not every story is going to be important to you, so be sure to stay abreast of all the important and not-so-important stories in your market. Keeping up with the most happening and current events can help you predict how the market will behave and what stocks you should be focusing on.