Selloff in equity futures, Asian markets continues

Fox Business ^ | 2/5/2018 | Reuters

[socialism_stinX]

U.S. S&P 500 futures，the world's most liquid, tumbled as much as 2.5 percent to 4-month lows in Asian trade on Tuesday as the sell-off triggered by worries about inflation showed no sign of abating, indicating Wall Street could be set for another brutal day.

Futures fell to as low as 2,542, the weakest levels since early October, and 11.7 percent below their record peak of 2,878.5 touched on Jan. 29. S&P futures were last down 1.6 percent while Dow futures were last down 2.2 percent.

The slide added to sharp falls over the past week. The S&P 500 index and the Dow Jones Industrial Average had their biggest single-day percentage drops since August 2011 on Monday, while last week, they posted their biggest weekly percentage drops since January 2016.

"The amount of the selloff that we are seeing is normal," said Michael Purves, chief global strategist at Weeden & Co in New York. "The speed at which we are doing it is not normal."

Purves said the futures slide could be magnified because of the "short volatility" trade unwinding, as well as being a reaction to Asian markets selling off.

[Blue Highway]

I just read Janet Yellen’s last day was last Friday and there is a new guy named Powell.

[trebb]

The rate increases are a factor - the global impact of the Tax bill is going to change the texture of things - latest zoom was on spec.

Things will settle - thanks for the great analysis.

[lgjhn23]

“...Read “The Creature from Jekyll Island: A second Look at the Federal Reserve”, by Edward Griffin. Best book I’ve read in 20 years....”

Yep. Great book....an real eye opener for sure. After reading it, I was no longer a fan of the FED. I saw how easily they could be politically “weaponized” to destroy our economy and country. When Yellen became chairwoman, I cringed.

[CincyRichieRich]

I just read Janet Yellen’s last day was last Friday and there is a new guy named Powell.
...
I do remember that thank you for the reminder sounds like she was just trying to be extra extra helpful to president Trump on her way out. Doesn’t change my opinion that the extra Rich liberal cabal is absolutely helping Drive the market down by the trades that they are placing they have enough money that they can get it started talk it down the mainstream media this morning while I was on the treadmill was all about talking the market down.

[SunkenCiv]

This was a little selloff for profit-taking, as the market’s been going up for months. The immediate pretext was the prospect of higher interest rates because of supposedly rising inflation.

The Federal Reserve May Secretly Want to Sink the Record-Breaking Stock Market
TheStreet | Sep 19, 2017 | Scott Gamm
Posted on 02/05/2018 7:33:21 PM PST by familyop
http://www.freerepublic.com/focus/news/3629632/posts

[NELSON111]

If you know what you are doing...you can make a killing during a crash. PLaying the volatility of the market can be fun too...