24 Hours

[errolanderson]

In the past 24 hours, equity markets have gone from extreme investor greed to panicked selling. This is now a bear market clearly showing-its-teeth. Let the asset dominos begin . . . .

[SASKFARMER]

Seen that today and had a few friends who are investing privately on their own squirming a bit today.

[wheatking16]

The FAANG stocks are down 35% as a group.

[STR1]

In the past 24 hours, equity markets have gone from extreme investor greed to panicked selling. This is now a bear market clearly showing-its-teeth. Let the asset dominos begin . . . .

When you say “asset dominos begin”……..what are you predicting? Need more explanation.

Thanks

[errolanderson]

There have been only two (2) times in the past 25 years that the S&P 500 index is down 3 percent and the 10-yr U.S. treasuries are down 1 percent in the same trading session, that’s today. As one trader stated: Someone is blowing up . . . .

[STR1]

There have been only two (2) times in the past 25 years that the S&P 500 index is down 3 percent and the 10-yr U.S. treasuries are down 1 percent in the same trading session, that’s today. As one trader stated: Someone is blowing up . . . .

Do you have the dates of these past 2 events? Just interested to follow to see if history repeats itself, always interesting to study history to see what parts repeat.

[errolanderson]

Do you have the dates of these past 2 events? Just interested to follow to see if history repeats itself, always interesting to study history to see what parts repeat.

Believe dates were 2008 and March 2020. Both times, Fed made emergency intervention. Last week, the inner plumbing of financial credit (the repo market) was under-siege.

Repo market is credit lending between financial institutions. Liquidity is now drying up placing huge strain on some lenders. Fed apparently making massive injections into this market last week to try to grease credit liquidity. The success of this right now is unknown. But suspect overall situation not good.

If markets continue to plunge this week, Fed may be overwhelmed with incoming credit issues. A credit tsunami so-to-say . . . .

[errolanderson]

When you say “asset dominos begin”……..what are you predicting? Need more explanation.

Thanks

Debt defaults will force asset liquidation.

This will affect a number of asset classes, but suspect the hardest hit will be for recreation toys and overpriced housing. Commodities like Jekyll and Hyde. Used vehicle prices have recently taken-a-hit. Energies will be volatile. Lot of internet chatter of explosive oil prices. This would just deepen the overall economic fallout and won’t last. WTI oil will again slide toward $80 per barrel, ‘when’ is the question. Grain sector strongest, but building commodities under pressure as the global recession deepens.

All financial sectors are tumbling. Stocks, bonds, cryptos under severe pressure . . . only place to hide right now is cash (in my view). Cash on-the-sidelines now has value.

My two-bits . . . .

[errolanderson]

Sorry, didn’t mean to like myself, not sure how to ‘unlike myself’ on this system. All thumbs . . . .

[Guest]

Sorry, didn’t mean to like myself, not sure how to ‘unlike myself’ on this system. All thumbs . . . .

The buttons are to close together LOL
Cannot unlike , tried once when I liked some liberal propaganda chuck posted once by mistake