U.S. investors watched developments from sidelines as world leaders tried to find a way out of Europe’s ballooning debt crisis.
All main market indexes closed slightly higher, after moving within a narrow range. Trading volume was on a lower side.
After trading within a narrow range of 75 points, the Dow Jones industrial average closed at 12,127.95 rising by 0.2 percent or 26.49 points.
Analysts say that the economy is not so strong to signify a robust recovery, however not so weak to warrant intervention by the Federal Reserve.
Seven richest countries of the world met in order to discuss ways to tackle Europe’s mounting debt crisis. Leaders noted with concern that Greece and Spain that are yelling for cash to support their troubled banks will immediately require to be bailed out by their wealthier partners.
Spain is not a member of the Group of Seven but Germany and the U.S. are. On the occasion of G-7 meeting, Prime Minister of Spain requested Europe to support his country which is unable to have a loan from the open market.
Investors are expecting more drama following June 17 elections in Greece as G-20 leaders would meet to discuss post election scenario.Previous Post » Buffett Does Not See Recession