The Dow Jones Industrial Average closed down 9 points, or 0.1%, to 10,144 on Friday, with a 2.94% fall for the week after the U.S. government revised 1st quarter economic growth estimates downwards led by weak consumer spending. The Nasdaq Composite climbed 0.27% to 2,233, but closed down 3.7% for the week. A notable faller on the Nasdaq was Research In Motion which dropped 11% to $52.2 after the company reported a 20% rise in first-quarter profit but disappointed on shipments of Blackberry's. The Standard & Poor's 500-stock index rose 0.29% to 1,076 but fell 3.7% on the week. Financial stocks moved up, helping to counter the move down in consumer related stocks, after the new financial regulation package was agreed and U.S. politicians in a form which was felt to be less onerous than previously feared.
The FTSE 100 was down 54 points to 5,046 on Friday, with a 4.7% or 253 point fall on the week. BP (BP.) continued its downward spiral closing at £3.04 on fears that potential storms in the Gulf of Mexico would hinder the efforts to stop the flow of oil from the leaking well. Commodity stocks had a particularly poor week as worries about a double dip resurfaced and metal prices softened. Generally sentiment took a tumble and the bears are firmly in control.
As I mentioned a few weeks ago, positions were trimmed back significantly as I had concerns about the market strength. For this reason, the portfolio is relatively limited at the current time. I am holding Coal of Africa (CZA) which has reversed back to 105p, my original purchase price and Ithaca Energy (IAE) which has had another poor week, finishing at 134p, down 10%. However, I am hopeful of a reversal for this company.
