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In 2010, optimism and doubt duked it out in stock market

January 1, 2011

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For investors, 2010 was a tug of war between optimism and doubt. Stocks initially strengthened, the job market didn’t, and fears of economic collapse in Europe and a chilling ‘flash crash’ left many almost too stunned to act. The year ended with stock markets at their highest level since the 2008 crisis on signs of an improving economy. But those same signs are producing worrisome side effects, including rising interest rates and oil prices. For the year, each index returned double-digit gains. The Dow was up 11 percent.