Posted on 08/25/2015 6:15:14 AM PDT by expat_panama
U.S. stock index futures pointed to a sharply higher open on Tuesday, recovering from the plunge seen in global stocks on Monday as mayhem in Chinese markets and interest rate fears dominated markets.
Dow futures were up around 450 points in premarket trading, implying a 320 point bounce at the open and shrugging off deeper selling in China. Equity markets in China fell further in the final hour of trading on Tuesday, with the Shanghai Composite (Shanghai Stock Exchange: .SSEC) settling below the key 3,000 mark, to end the day down 7.6 percent.
Read More More selling may be ahead, but bull market called not dead yet
Japan's Nikkei 225 (Nihon Kenzai Shinbun: .N225) index was the second-biggest laggard in the region, closing down 4 percent, after turning negative in the afternoon trading session Tuesday.
European equities bucked the weakness seen in Asia , and were trading firmly in the green in early deals. The pan-European Stoxx 600 rallied 2.8 percent, with French (Euronext Paris: .FCHI), German (XETRA: .GDAXI) and U.K. (FTSE International: .FTSE) stocks all up around 1.5 percent. Basic resources stocks were the key outperformer, gaining in excess of 3 percent.
On the data front, there are a flurry of housing market indicators due Tuesday, with the FHFA and Case-Shiller home price indices for June both due at 9.00 a.m. ET and new home sales figures for July at 10.00 a.m. Other releases include the Conference Board's consumer confidence indicator for August at 10.00 a.m. as well as the flash Markit services and composite PMIs for the same month.
"After yesterday's data vacuum, we get U.S. new home sales and Conference Board consumer confidence this afternoon. Neither of these is going to change anyone's expectation about the outlook for Fed policy...
(Excerpt) Read more at finance.yahoo.com ...
Yowsa! Stock indexes crashed yesterday almost 4% and right now furtures see +4%--- welcome to the wild ride of August! Metals have been a bit back & forth too w/ gold'n'silver now at $1.152 and $14.86 --being seen today -0.14%. Announcements:
9:00 AM Case-Shiller 20-city Index
9:00 AM FHFA Housing Price Index
10:00 AM New Home Sales
10:00 AM Consumer Confidence
Like I said yesterday, a correction then people will buy low and sell high. A bit of volatility means precisely ... nothing.
Historical? Hysterical?
Let me be the first to say it. Now Janet Yellen will have to raise rates!
But what exactly is low? Will bargain hunters come in, or will they sit on their hands in expectation of even lower prices? It doesn’t take much to have the selling continue.
With all corrections, folks still don’t learn. Sucker rallies always happen. Also, notice yesterday that day traders bought at the low and program-sold between 3pm and 4pm?
Not really the first to say it, as I played out the scenario several times yesterday.
The rate increase in Sept. is going to happen. The Fed has been discussing 0.25 base pts., but I project they are going to go 0.5 or 0.75.
Why?
Look at what they said yesterday about our resilient economy! The whole world is melting down, but America isn’t?
I said it yesterday, they are going to screw this up.
PRE-market trading???
Gee, that doesn't sound like something prone to manipulation does it?
Please! Only one person need tell me "this is the way it's always been."
It hasn't. It's a recent development.
Yes. Sucker bounce. Let the shearing begin in earnest.
There are many reports out today of “glitches” in trading. The system that was upgraded after 2008 couldn’t handle the volume.
For me it means that things are crazy and unpredictable. Markets like these I prefer to step back and wait for things to calm down before I act.
Looks like China isn’t the only country where the state-controlled press is trying to manufacture good news to stem the stock market bloodbath.
The first hike is going to be that large? Why do you think that?
What they really mean is "pre U.S. market trading". This is in fact just like you said, "a recent development" as US stock markets didn't seriously exist until the 1700's and before then all trading was outside the U.S --i.e. "pre-market.".
Let's see how the jury responds to that:
You'd think. Do our pols have a clue how the non-existent interest on savings is destroying retirees and making it impossible for younger generations to be responsible about saving for the future?
Them that haven't learned have long since lost all their money have long since gone into journalism. What we're seeing here are market prices set by sharp people buying and selling and virtually all are making big profits.
LOL! Too soon?
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