Skip to comments.Wall Street Set To Tumble As Global Markets Roiled
Posted on 07/12/2011 5:56:20 AM PDT by blam
Wall Street Set To Tumble As Global Markets Roiled
Tuesday July 12, 2011, 7:48 am
By Edward Krudy
NEW YORK (Reuters) - Wall Street was headed for a third day of losses on Tuesday as fears of a systemic crisis in the euro zone grew, sending index futures sharply lower.
In a rerun of the spring selloff in equity markets, U.S. stocks fell sharply in the last session as European officials for the first time refused to rule out default by Greece and investors feared the crisis could overtake Spain and Italy.
"The markets have been gripped by fear, how real it is hard to say," said Paul Mendelsohn, chief investment strategist at Windham Financial Services in Charlotte, Vermont.
"Is it just the news flow that is causing this? Is it hedge fund managers that are causing this or is there something really more systemic here," he said.
A selloff in Asia was swiftly followed in Europe. The FTSEurofirst 300 (^FTEU3 - News) index of top European fell 1.5 percent, while Japan's Nikkei average (Osaka:^N225 - News) lost 1.4 percent. Wall Street posted its worst day in a month on Monday.
Early trading suggested economically sensitive areas, such as industrials and banking, would lead a broader market decline. Citigroup (NYSE:C - News) fell 1.5 percent to $39.20 while General Electric (NYSE:GE - News) fell 1.2 percent to $18.40.
S&P 500 futures slipped 15.10 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures dipped 111 points, and Nasdaq 100 futures fell 19.75 points.
The S&P 500 found support at its 50 and 100-day moving averages at around the 1,316 level in the last session.
(Excerpt) Read more at finance.yahoo.com ...
doan werry. there’s a backup plan.
How much of the international slide is being done to bolster Obama’s position on raising the U.S. debt ceiling?
Looks like the train to economic holocasut is accelerating.
better yet, there’s a CLEVER backup plan. (We cannot reveal it at this time.)
0% of the slide is related to the US budget situation, politically or economically.
Is this a reaction to the drop here yesterday or a precursor to a further drop? Hard to say what’s the chicken and what’s the egg.
The futures, at this writing, are down 15 points. That’s not what I’d a call a prelude to a big drop.
Keep your eyes open for the FOMC minutes to be released a 2 PM eastern time, though.
Hang in there, and let’s be careful out there.
From Catalpa Capital Advisors:
How much of the international slide is being done to bolster Obamas position on raising the U.S. debt ceiling?
That is a very good question since the control of the Executive Branch is control of a multi-trillion dollar international slush fund that has greatly benefited non-US banks and businesses.
Globalization and interdependence = mutually assured economic destruction.... =.=
Some liberal "Democrat Strategist" was on the news last night saying the economic troubles in Italy and throughout Europe were due to the Republicans not raising the debt limit. Thankfully the host basically told her she didn't have a clue, and the European troubles aren't even remotely related to what is going on here. But that is going to be their strategy, any bad economic news from here on out is going to be the Republicans fault.
One day last week the news was Greece debt crisis was adverted and when everyone woke up and heard this news they immediately called their brokers screaming Buy, Buy, Buy!!!!
Now we are told these very same people who were so excited last week now upon hearing (apparently for the 1st time) that Italy has debt problems they are immediately calling their brokers screaming Sell, Sell, Sell!!!!
uuummmmmm, make perfect sense to me
Tumble away, take ZERO with you. . . . .
If this is part of the game plan...to make the markets start falling to force the Republicans to cave re: the debt ceiling...we are in worse trouble than I thought. Sometimes I don’t even want to hear what is going on...If it is worse than just having the fraud in the WH until he gets voted out...we are doomed. Very sad times, to see the U.S. lost this way.
Not to worry; some very smart Ivy Leaguers are in control and managing the situation.
0%. There are more immediate worries for the markets; they are Greece, Spain, and Italy.
We are all going to die. Whaaa.
Yesterday Greece, today Italy, tomorrow Spain.
Eventually Germany as they can’t afford Greece, Spain, and Italy’s debts either.
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