TSX and the Dow have the worst quarter since 2011
The economy this year was good for others, bad for some and great for none. The Toronto stock exchange started the year with lower numbers than anyone had expected and things did not improve during the next few months.
Cooper and aluminum seemed to be the only commodities that were stable. Crude oil prices rose in late September, and dropped dramatically by the end of September.
The TSX registered a loss of 9.1 since the beginning of the year, which is the same situation as October, 2013.
Apparently, the crisis was triggered by some problems in the Chinese economy, as well as the devaluation of the Yuan in the last quarter. The third quarter did not see an improvement: the TSX registered a drop of 8.5, while the Dow registered a drop of 7.5. The political situation in the Middle East and the rumor that a hurricane might hit the eastern coast of the United States prevented the price of oil from dropping lower.
The specialists are still trying to figure out how this will end. Should we expect another crisis in the near future? Will the TSX and the Dow recover their losses by the end of this year? Some are predicting the TSX and the Dow will finish the year in a worst state than they are right now. The only salvation may be from commodity prices increasing.