stock market prediction august 2011

stock market prediction august 2011, market forecast 2 august, market outlook august 2011 : The debt-ceiling negotiations are now like a heavy weight hanging over the stock market. The Dow Jones Industrial Average fell 195.87 points Wednesday, which was the fourth consecutive loss

As the Aug. 2 debt deadline approaches, investors can envision everything from the stock market dropping like a rock – perhaps as much as 20 percent – to the economy shrinking as government vendors lay off thousands of workers. In short, the worst that could happen.

In this worst-case scenario, the stock market could fall between 10 percent and 15 percent, Lamkin says. “You could see a drop of 1,200 points in consecutive days,” he warns. “It would really depend on how long the default went on.