Posted on May 14, 2006 by Marsha James

I don’t pretend to understand the stock market but was confused more than usual with the latest numbers. Oil is getting more expensive all over the U.S and yet stocks on oil are falling rapidly. How is that possible?

After some reading up I learned that investors are afraid of inflation and interest rate hikes via the Federal Reserve.

More importantly I learned that any and everything seems to be able to affect the stock market.

“The market as a whole is very weak because of the problems with Fed, and with higher commodities, and then on top of it all, the techs have some earnings issues,” said Edgar Peters, chief investment officer and director of asset allocation at PanAgora Asset Management Inc.

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