Description: This past Thursday, the S&P/TSX composite index hit a new high at 16,612.81 points. Some believe that recent hints that interest rates won’t be rising may have contributed to this new high point. Rising oil prices may also have helped fuel the optimism. Since its low point in December, the market has soared over 20%.
Date: April 18, 2019
1) What do you think has had the most influence on the rising stock market these past few months?
2) Does your university have an investment club or a course where you can more actively engage in market-watching?
3) Read about the Price-Earnings Ratio on page 71 of Wiley’s Financial Accounting: Tools for Business Decision-Making. In the current market conditions, what do you see happening to Price-Earning Ratios? What other information might you need to give a better answer to this question?