Week 6 transaction

http://screencast-o-matic.com/watch/cX6uFLO9U

Vocab week 6

21.Economy- the large set of related economic production and consumption acitivities which aid in determining how resources are used.
-The economy has been down a lot lately which caused a lot of worries in the United States and other countries.
22.Economic System- the system of production, consumption, and distribution
- The economic system effects every type of buisness.
23.Supply  and Demand-higher demand equals higher prices, then the supply increases which means lower prices.
-Walmatrs new product became very popular so the price when up, but when mass quantities were produced the price went back down.
24.Intrest- amount of extra money you pay when your in the process of paying something off.
- When i put money in the bank, I earn intrest while it is in there.

Occupy Wallstreet

I disagree with the occupy wallstreet movement because I firmly believe that people can make a living for themselves without having to blame the government for bumps in the road. Even children in poor families have oppertunities to get scolarships, they can join the milirary which helps with college, and sometimes we do have to take jobs we dont want to earn enough to move up. I also think its hard for us to make it right to take rich people money just because they are rich. I can find many reasons to back up the 53%.

week 5 transaction

Vocabulary 5

17.Inflation - the rising and falling of prices
- I could see there was an inflation in stocks when i saw all of them were up a lot today.
18.Gross Domestic Product - the money value of all the finished goods and services produced within  a countries boarders in a specific time period.
-The countries gross domestic product went up dramatically in the last three months.
19.currency - money
- A lot of countries have a different type of currency from others.
20.Infrastructure - the basic physic systme of a buisness.
- The company would not be able to function without even its most basic infrastructure.

Comments

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Cameron
Tamara
Haley
Anya
Sam
Heather
Brandi
Jon
Will
Mariah

Vocab 4

13.  Dow Jones - an average price of 30 stocks in the United States.
      The Dow Jones average has gone down in the last year.
14. S & P 500 - 500 large cap stocks that are commonly traded in the United States.
- When I checked the stocks the other day i was surprised to see that the S & P 500 had gone up quite a bit.
15. Russle 2000- a small cap stock market index of the bottom 2000 small cap stocks.
- I bought a small cap company that is part of the Russle 2000 index.
16. Treasury Bond - long term debt instrument issued by the U.S government.
-Im getting paid intrest on my treasury bond.

Week 4 Transaction

The most significant transaction i made this week was investing in Visa. I started looking to invest in the financial sector mainly because we spend a lot of money, even in harder economic times, we all still pull out our credit cards on a regular basis. There are many credit card companies but I chose to invest in Visa because it dominates 70% of the market in companies that distribute and process credit cards. However this is not the only reason, over 6 million businesses accept visa credit cards and the amount of money spent with a Visa credit card has gone up 17% since last year. For these reasons I think Visa will be a better investment than competitors such as Matercard. I bought 215 stocks for $91.92 each which is pretty high on the $66.50 - $94.75 52 week range, but it has gone up since i bought it. For me this price was a plus since Mastercard is going for $338.85 right now. I did buy Visa as an investment, to me this is a company that I will leave alone for a long time because im confident  it will go up. I predict that Visa will go up, especially in the next few day, i have already started to see that trend.

Transaction 1
This week, my major transaction was investing in Exxon Mobile(XOM). My main reason for this was because i have real stocks in Exxon and I want to see how it's doing. Also, they have an 8 out of 10 on MSN Money, i feel like Exxon will be a solid company for me to invest in especially since the earnings growth has grown a signifigantly in this last year. I purchased the stocks at $71.88 in the $63.37 - $88.23 52 week range. It is now up to $73.23 per share. I have made money since i invested in Exxon Mobile, i predict that there will be some ups and downs but overall i think this company will prove to be a positive investment.

Transaction 2
My next transaction this week was selling apple. Apple was going to be an investment that i kept for a long time but after Steve Jobbs passed away i think selling is the best option for now especially since Apple has not been beeting me anywhere and I can always come back to it later once i find of if his death is going to effect the company or not. I sold all 45 shares for $370.50. The 52 week range is $286.91 - $422.86. Selling for that price is not bad, however i bought them for $413.42. My prediction is that i made the right choice but i was a little on edge about what the right choice was so i will just have to wait and see.

Vocabulary 3

9.   RISK-  the chance that an investments earnings will be different than expected.

- Some risk always goes along with purchasing any stock.

10.  SMALL CAP-  stocks with a relativley small market capitalization.

Small companies that are small cap, have a greating potential to grow but also have a greater potential to go bankrupt.

11.  MID CAP- stocks with an average market capitilization.
- The companies market capitilization is $5 billion so it is a mid cap company.

12.   LARGE CAP- stocks with the biggest market ccapitilization.
- The companies market capitilization was $20 billion, so it was a large cap company.