Dow Futures Tumble 900 Points As All-Out Oil Price War Adds To Coronavirus Stress

CNBC ^ | 03/08/20

[Enlightened1]

Stock futures tumbled in overnight trading Sunday as investors continued to brace for the economic fallout from the spreading coronavirus, while a shocking all-out oil price war added to the anxiety.

Futures on the Dow Jones Industrial Average plunged more than 900 points. The S&P 500 futures also indicated a 4% drop at the open on Monday. The sharp declines in the futures market pointed to more turbulence ahead after a roller-coaster week that saw the S&P 500 swing up or down more than 2.5% for four days straight.

Saudi Arabia on Saturday slashed official crude selling prices for April, in a sudden U-turn from previous attempts to support the oil market as the coronavirus hammers global demand. The move came after OPEC talks collapsed Friday, prompting some strategists to see oil prices crater to $20 this year.

“Crude has become a bigger problem for markets than the coronavirus,” Adam Crisafulli, founder of Vital Knowledge, said Sunday. “It will be virtually impossible for the [S&P 500] to sustainably bounce if Brent continues to crater,” he added.

International benchmark Brent crude futures plunged 30% to $32.05 per barrel. U.S. West Texas Intermediate crude fell 27% to $30.07 per barrel.

Investors have already been on edge about the coronavirus outbreak that caused major stock averages to tumble into correction territory. As of Sunday, global cases of the infections have climbed to more than 109,000 with at least 3,801 deaths around the world. The situation is also worsening in the U.S. with New York, California and Oregon all declaring a state of emergency.

[trebb]

Futures down over 1200 now - and oil is about $30 - half what it was a very short while ago as Russia refuses to cut production...ironic as it will hurt them as bad as anyone....and maybe more later.......

[a little elbow grease]

"There is more carnage to come."

______________

I feel your pain.

"Carnage" as you say or not, it is for every one with a brain in their head to live a life of careful planning, zest, and hard work from their childhood to their old age.

If they had done that they would have no carnage ahead.

You can worry about the carnage. This seventy-three year old will go out on the deck and throw some apples to the deer. (They are pigs.)

**********

Keep in mind, it's always darkest before it goes pitch black.

[Drago]

Better wait until ~Dow 20K...

_________________

..... might be a rather long wait.

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DOW 20,189 today...8 days wasn't too long.

Rethinking my "re-entry point" strategy...perhaps 19K with a small sum.

[a little elbow grease]

Rethinking my "re-entry point" strategy...

_______________________

.... it must be a drag to have to "re enter".

LOL

(Let's hope that you are aware that the comfortable investor does not lose ANYTHING until they sell something ..... at a loss.)

Now you can feel free, and you can "re-enter" with your "small sum".

lol

[Drago]

Yeah, “re-enter” is the wrong term...I didn’t get out of anything...(not a big stock market maven)...403b/IRA’s/Vanguard...less than 10% of assets in equities. Good luck out there!