Posted on 09/20/2021 5:48:47 AM PDT by John W
U.S. stock futures began the week deeply in the red as investors continued to move to the sidelines in September amid several emerging risks for the market.
There were a number of reasons for the sell-off:
Investors fear a contagion sweeping financial markets from the troubled China property market. Hong Kong equities saw a big sell-off during the Asia trading session on Monday. The benchmark Hang Seng index plunged 4% with embattled developer China Evergrande Group on the brink of default.
The Federal Reserve begins a two-day meeting Tuesday and investors are worried the central bank will signal it’s ready to start pulling away monetary stimulus amid surging inflation and improvement in the job market.
Covid cases because of the delta variant remain at January levels as colder weather approaches in North America.
September has the worst track record of any month, averaging a 0.4% decline, according to the Stock Trader’s Almanac. History shows the selling tends to pick up in the back half of the month.
Investors are also concerned about brinkmanship in DC as the deadline to raise the debt ceiling approaches. Congress returned to Washington from recess rushing to pass funding bills to avoid a government shutdown.
Stocks linked to global growth were down the most in premarket trading Monday. Ford and Carrier Global lost more than 3%. General Motors and Boeing fell about 2% each. Nucor steel shed 2.8%
(Excerpt) Read more at cnbc.com ...
Sock salesmen can’t function without the fed feeding their opiod habit.
Pfizer stock down?
Gold and silver are sure a bargain right now. ;)
That has been happening for several days, very strange, actually. You would think gold would go up with impending doom. The big boys always know when doom is coming...and they’re not buying gold. Hmm...
look out below!! the Biden reset is underway...
Biden’s socialist policies and insane trillion dollar welfare spending spree is coming home to roost - ALL predictable.
Besides inflationary prices at the grocery store, a lot of items are just not there. The supply chain is buggered somewhere, even though the major highways I drive are 70% trucks hauling. I’m hunkered down for the long haul, but not buying 20-year food just yet.
I would speculate that the financial markets know a bargain has been struck in Washington. The ludicrous “infrastructure” bill will be scaled down considerably, and in exchange for this the debt ceiling will be raised.
That has been happening for several days, very strange, actually. You would think gold would go up with impending doom. The big boys always know when doom is coming...and they’re not buying gold. Hmm...
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I heard an explanation for this behavior a few weeks back. Can’t remember which financial YouTube channel. The idea being that as stocks go down, margin calls occur, and in some cases accounts need to sell gold they’re holding to pay the margin call. More sellers than buyers on gold depresses the price.
If there is a credit collapse, probably via China, Gold and crypto will go down too. At least in short term. Hold cash or short stocks if this is what is coming. Gotta be careful with shorts though, being right, but picking the wrong moment means you still lose.
Sounds logical.
Only the Federal Reserve big boys and their close friends know when the right moment occurs.
I believe this is another part of the “Great reset”....I believe it has to crash (correct) in a devastating way for for the Marxists to get what they want...more chaos and fear.
....and more excuses for printing/doling out more money-—ya’ know, for the “common good”.
Maybe we just need to get thru the next 1.5 to 3.5 years.
Wait until the Republicants help pass the 5 trillion dollar Utopia.
My father was a sock salesman, and had zero help from the Fed.
Evergrande in China blew up. Been following the saga for weeks. Some believe this is Chinas Lehman moment. Question is how many Western banks, hedges and pensions are exposed. How much is Calpers exposed
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