Naturally economists and traders were pessimistic on the above news and predicted a lower opening in the US equity market on Thursday. Further, investors often compare the futures number with the fair...

Naturally economists and traders were pessimistic on the above news and predicted a lower opening in the US equity market on Thursday. Further, investors often compare the futures number with the fair value of the stock index (recall that we first explained the fair value concept in Box 9.1 of Chapter 9).