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Stock Market Today: Global Selloff Intensifies; Nasdaq Futures Slide Over 4%
Wall Street Journal ^ | 8/5/24 | WSJ

Posted on 08/05/2024 5:49:04 AM PDT by edwinland

The Nikkei plunged 12%, the most since 1987. Stock futures traded sharply lower and investors sheltered in the safety of bonds.

A global stock-market selloff intensified Monday, led by a more than 12% drop in Japan’s Nikkei 225. Tech-focused Nasdaq-100 futures were down more than 6%, while contracts tied to the S&P lost more than 4%.

The declines extended what has been a dizzying few days on Wall Street during which this year’s most popular trades have been aggressively unwound. A selloff in tech shares continued premarket Monday, with Nvidia, Meta and Apple each losing 9% or more. (The iPhone maker took an extra hit from news that Berkshire Hathaway had slashed its Apple stake.)

Concerns about a slowing U.S. economy are front and center for investors after job growth slowed sharply in July. Investors are worried that the Federal Reserve has moved too slowly and will need to play catch up in cutting rates.

Around the world, investors rushed for the safety of the bond market. The 10-year U.S. Treasury yield recently traded around 3.68%, down from over 4.1% a week ago and on pace to settle at its lowest level in more than a year.

In recent trading:

The VIX, considered Wall Street’s fear gauge, jumped to 65, its highest intraday level since the pandemic-induced selloff March 2020.

Treasury yields fell. Yields tied to the two-year U.S. Treasury note fell the furthest, as the yield curve continues to steepen.

(Excerpt) Read more at wsj.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: bidenomics; bidenrecession; nikkei; selloff
In my personal opinion, the only thing keeping the market rising was the expectation that Trump would win. Now that investors see the election as a toss up the entire economy has less value. Investors know that a continuation of today's policies would sink the economy.
1 posted on 08/05/2024 5:49:04 AM PDT by edwinland
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To: edwinland

NASDAQ now down 6%. It’s falling so fast the “live” headline can’t keep up.


2 posted on 08/05/2024 5:50:23 AM PDT by edwinland
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To: edwinland

With the rise of BRICS, we are now watching in realtime the takedown of fiat. It’s a Glorious Day.

The odd thing I see this morning is Gold also down. Interesting, perhaps some see an opportunity in selling gold to buy what they see now as “bargains” in stocks.

Remember, when a VERY SHARP knife is falling, don’t try to catch it!


3 posted on 08/05/2024 5:52:53 AM PDT by C210N (Mundus vult decipi, ergo decipiatur.)
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To: edwinland

And the stock market proper has not even opened trading yet. That happens at 9:30 am, gonna be a lot of skittish traders looking to bail out.


4 posted on 08/05/2024 5:54:16 AM PDT by Skwor
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To: Skwor

Futures down 1200 right now and trend is downward.


5 posted on 08/05/2024 5:55:30 AM PDT by mware
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To: edwinland

And just like food and housing prices the market has been propped up via inflation;-)


6 posted on 08/05/2024 5:56:45 AM PDT by Harpotoo (Being a socialist is a lot easier than having to WORK like the rest of US:-))
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To: edwinland

We are so screwed.


7 posted on 08/05/2024 5:57:06 AM PDT by Lazamataz (If you are upset the bullet missed, contact me immediately. I'll make sure your bullet doesn't.)
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To: edwinland

This is fear of Kommie continuing this disaster.


8 posted on 08/05/2024 5:57:52 AM PDT by bray (It's not racist to be racist against races the DNC hates.)
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To: edwinland

“Now that investors see the election as a toss up the entire economy has less value.”

I’m not sure about that. There are a lot of investors who are hardcore Dems. My guess is that global instability along with a slowing economy are scaring investors.


9 posted on 08/05/2024 5:58:53 AM PDT by brownsfan (It's going to take real, serious, hard times to wake the American public.)
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To: edwinland

Exactly right, IMO. These analysts rarely discuss politics or factor it into market behavior.

The markets are all about the future and the sudden real prospect that a hardcore anti-American, anti-business, anti-Israel communist outdoors win the election (instead of the solidly pro-American, pro-business Trump) has really spooked the markets.


10 posted on 08/05/2024 5:59:59 AM PDT by ProtectOurFreedom (“When exposing a crime is treated like a crime, you are being ruled by criminals” – Edward Snowden)
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To: C210N

I wouldn’t be cheering the rise of the BRICS currency if I were you.


11 posted on 08/05/2024 6:01:02 AM PDT by 9YearLurker
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To: edwinland
TLT (an ETF for long-term treasuries) is up 1.3%. That corresponds with treasury yields being down (prices move opposite of yields).
12 posted on 08/05/2024 6:01:10 AM PDT by Tell It Right (1 Thessalonians 5:21 -- Put everything to the test, hold fast to that which is true.)
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To: C210N

“With the rise of BRICS, we are now watching in realtime the takedown of fiat.”


If that’s so, then wouldn’t treasuries be crashing instead of rallying?


13 posted on 08/05/2024 6:08:05 AM PDT by Ken H (Trump 2024is)
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To: bray
This is fear of Kommie continuing this disaster.

YES! Investors are waking up to the possibility of a Socialist/Marxist Amerika with Kommie-La in charge!

14 posted on 08/05/2024 6:22:59 AM PDT by The Sons of Liberty (President Trump saved by DIVINE INTERVENTION. GOD CONTINUES TO BLESS AMERICA!!!)
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To: edwinland

There’s also the issue of a potential wider Middle East war, too.


15 posted on 08/05/2024 6:54:58 AM PDT by RayChuang88 (.FairTax: America's Economic Cure)
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To: C210N

Read this thread:

https://freerepublic.com/focus/f-bloggers/4256332/posts

When a bank gets a margin call on they have to sell something. It does not matter if it is stocks, bonds, treasuries, Bitcoin or gold. You have to SELL to meet that Margin Call. This is happening all over the world.


16 posted on 08/05/2024 6:55:03 AM PDT by woodbutcher1963
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To: woodbutcher1963

Thanks, very poignant.


17 posted on 08/05/2024 7:14:57 AM PDT by C210N (Mundus vult decipi, ergo decipiatur.)
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To: Ken H

Although, mindful of reply #16, we are now in the midst of the Fog of Financial War.

Rising treasuries today could lead to plummeting tomorrow.


18 posted on 08/05/2024 7:16:29 AM PDT by C210N (Mundus vult decipi, ergo decipiatur.)
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