The Rise of the Tech Stock
Over the past few years, many millionaires have been created due to the economical explosion of the stock market. The market isn't just growing, as it did in the mid to late seventies; but it is on steroids, and is growing like never before. Backed by the relentless, yet sometimes spasmodic, growth of the NASDAQ Composite, Wall Street's impact on the future cannot be denied. For as long as the market has been in existence, drastic changes such as these have never taken place. What awesome power could have produced so much money in so little time? What colossal force could have caused the United States' economy to flourish? The answer lies in one, simple, recently coined phrase: the tech stock. The stock market has been around since people traded silver for ownership of cargo 200 years ago, yet many people don't know how it works, or where their money goes when they purchase a stock; they simply think "buy low, sell high." Although this is a good basic investment plan, it is imperative that one knows where his money is headed when he buys a thousand dollars worth of a specific stock. When one purchases a stock, they are actually purchasing part of a compan
January 4th, 2000; a sigh of relief sweeps the world as nothing too terribly devastating happens on the turn of the millennium. However, this sigh turns quickly into a gasp; at least for those watching the stock market. The Dow Jones plummets nearly 360 points, and NASDAQ plummets nearly 230 points in just one trading day. The next two days, NASDAQ continues to fall another 200 points, resulting in nearly a 8% drop in just three days. It recovers from this drop in only about two days, only to drop back into a lower pit in three more days. Those who held onto their pocketbooks for this roller coaster ride found a light at the end of the tunnel, and by the end of February, the Composite had climbed to the 4600 mark, 600 points higher than at the beginning of the year (Fool 1). Many other times in the first quarter of 2000 NASDAQ took a hefty fall, but it always regrouped and rallied to surpass it is original price. Another thing to remember is that NASDAQ isn't made entirely of tech stock blue chips such as Dell and Amazon (Nasdaq 1). It is also made up of small caps that fail, large caps that fail, and those penny stocks that people get so worked up about... that also fail; so it is hard to judge how well tech stocks are actually doing by looking directly at the NASDAQ Composite or P/E ratios.
Some common words found in the essay are:
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Approximate Word count = 1712
Approximate Pages = 7 (250 words per page double spaced)
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