Posted on 02/11/2016 9:57:35 AM PST by Signalman
U.S. crude futures dropped as much as 5% on Thursday, driving prices below $27 for the second time in recent weeks. Before this year, oil prices hadn't dipped below $27 since 2003.
The steady decline is creating a widespread headache for financial markets. It's causing energy companies' profits to plunge, raising worries about the prospect of bankruptcies in the oil sector and spooking investors about global growth. In total, crude oil has plunged an incredible 75% from its June 2014 peak of almost $108.
U.S. stock markets followed by declining sharply. The Dow fell as much as 350 points and the Nasdaq moved closer to a bear market, or 20% below its most recent high point. World markets also suffered. In Asia the Hang Seng (HSI) dropped nearly 4% Thursday, while the Nikkei (N225) shed 2.3%. Major indexes in Europe were 1.5% to 3% lower after Sweden's central bank pushed its key interest rate further into negative territory at -0.5%.
(Excerpt) Read more at money.cnn.com ...
The market will bottom out around 14,000 after the fed raises rates. The sham Obama recovery is over.
LOL. I guess that’s the low-information way to look at it. I guess it would be too hard to say that the same economic factors that depress oil prices also cause investors to sell equities. But, let’s make it look like cause an effect, instead.
I predict gasoline will be under 5 cents per gal by the end of the year.
Man, I wish I still had my ‘79 Caddy Coupe DeVille!
that’s what some smart people i know are saying.
I hope it stops at 14k.
though trading FOREX isn’t for everybody, if there’s a safer way to make money betting against the dollar, now’s the time.
the eight year ride is over
yellen’s testimony so far has had almost nothing in it to raise hopes for that elusive “recovery”
It is a spiral.
Low economic growth leads to both lower oil prices and lower stock prices. Lower oil prices causes additional losses to stock prices, particularly in the energy and banking industries. Lower stock prices further depress economic growth, which further depresses demand for oil, which further depresses stock prices, etc., etc.
the market will drop below 10,000 before this is over....
Oil prices too high! = Bad for the economy
Oil prices too low! = Bad for the economy
Okay, I gots it!..................
The economy is so good the FED is going to have raise interest rates negatively.
Just how does that work?
The banks will get more money, by paying back less than they borrowed, instead of paying interest?..............
The Cart is crashing into the river, taking the horses with it!
That's pushing the limits of my understanding of it so far.
It isn’t oil. It is the over taxed over regulated economy and the debasing of our currency to Weimar levels.
Nikkei was closed last night (Thursday session) - article is wrong.
Debasing of our currency? Couldn’t be more wrong. U.S. dollar soared in recent times. Whatever ideological trash you’re reading is total B.S.
lol
i trade the FOREX, and I can’t tell you how many times “experts” have been dead wrong, and I’m no genius but I KNEW they were dead wrong.
recent eur/usd move from 1.08 to 1.135 and probably to 1.17 or more. it was obvious after 1.09 where it was going.
but experts said “Stay on the sidelines, the dollar is gonna roar back any minutes!!! you’ll lose everything!! why why!!”
lol
Gotta prepare for a Republican in the White House to blame for the bad economy, the millions who’ve quit looking for work, stagflation, etc., right?
/I WISH this was sarcasm.
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