Mixed economic signals worldwide brought European stocks down from a five-year high yesterday. While German investor sentiment rose for the fourth straight quarter, the positive news was offset by Market News International’s report that China will adopt a market-based floating exchange rate. That move, combined with Fed Chairman Bernanke’s expected announcement that the U.S. economy isn’t strong enough yet to cut stimulus, worked to pull back stocks internationally. With all of these conflicting economic messages, many investors have remained on the sidelines. The question is, what’s it going to take to get them back in the game?
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Two major stock indices reached significant milestones today: the Dow Jones Industrial Average hit 16,000 for the first time, while the S&P 500 went above 1,800 several times over the course of the day.
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