FIN 640: Dynamics of Stock and Bond Markets

In order to provide students with an introduction to investment analysis and have them critically evaluate alternatives, you are assigned a short project. You will work on this project daily for four weeks, starting in Module 2, with a final report due in the fifth week of the project (in Module 6). Using the spreadsheet provided, daily track the following three indicator values for 4 weeks:· Dow Jones Industrial Average (DJIA)· NASDAQ Index· 10-year Treasury Note Yield (10-Yr T-Note Yield) Also during that time you should look for causative factors that impact the value of each of these values. You will get the majority of your information on pages C1 and C2 of the Wall Street Journal (WSJ). NOTE: You may choose to get a daily subscription to the Wall Street Journal in order to make your research easier. You can order a student subscription at http://student.wsj.com/info or access it through the SNHU Online library. The SNHU Online library version does not include images, diagrams or graphs. You report will analyze the following:· The impact of the various causative factors on the three indicator values. List each of the causative factors in bulleted form (See the chart provided for this information). For each factor, briefly analyze the nature (positive or negative) and degree (severity) of the impact on each of the three indicators. You must analyze why stocks and bonds values increase or decrease. You may see the "Credit Markets" section of Section C of the WSJ for causative factors of the bond markets. Also see pages C1 and C2 of the WSJ for other causative factors for the DJIA and NASDAQ.· The relationship between the three values.