preview

The Value Of Ibm Stock Price The Highest And Lowest

Satisfactory Essays

1. a. Is the price near its high or low price? What is the total value of IBM stock (market capitalization)?
The price nears the highest it has ever reached, 179.2. This is almost an equivalent figure to what it is today (175.86). Its market capitalization is 168.41 Billion (U.S. Bureau of Labor Statistics, 2017).
b. What is the average daily trading volume (Avg Vol) of IBM stock? Click on “5y” just below the stock price chart to see IBM’s stock price movements over the last five years.
Average daily trading volume is 3.78 Million. Over the past five years, the prices have fluctuated to hit 218 in 2013 but recorded the lowest in 2016, reaching up to 119 (U.S. Bureau of Labor Statistics, 2017).
c. Describe the trend in IBM’s stock price …show more content…

Moreover, the shares outstanding for IBM are more than 2.6 Million (U.S. Bureau of Labor Statistics, 2017).
Q3: Ch 2 (10%) Go to https://fred.stlouisfed.org/categories. Under “Money, Banking, & Finance” select “Interest Rates” and then select the “Treasury Bills” then “3-Month Treasury Bill: Secondary Market Rate”. Describe how this rate has changed in recent months. Using the information in this chapter, explain why the interest rate changed as it did.
Over the years, the percentage of bills has been growing steadily to reach 18 % in 1980. Recently, it has been dropping to rates below 1% and steadily progressing along the same. Just like other debt securities, Treasury bill interest fluctuation could be subject to the unsteady rates in other financial borrowings. Most likely, the interests rates by banks have also been decreasing forcing the government to price their bills lower (Becker & Ivashina, 2015).
Q4: Ch 2 (20%) Using the same website, retrieve data at the beginning of the last 20 quarters for interest rates (based on the three-month Treasury bill rate) and the producer price index for all commodities (under "Prices") and place the data in two columns of an Excel. Derive the change in interest rates on a quarterly basis. Then calculate the percentage change in the producer price index on a quarterly basis, which serves as a measure of inflation.

Get Access