Asian Markets Plunge After Wall St Debacle

[Ccarmona]

Source: Yahoo Finance

- Share markets in Asia plunged to a 19-month low on Thursday after Wall Street's worst losses in eight months led to broader risk aversion, a rise in market volatility gauges and concerns over overvalued stock markets in an environment of rapidly rising dollar yields.

MSCI's broadest index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> was off 3.8 percent around 0500 GMT, and earlier touched its lowest level since March 2017.

Markets in Europe are seen as unlikely to stem the bleeding, with financial spreadbetters expecting London's FTSE (.FTSE) to open 1.4 percent lower at 7,047, Frankfurt's DAX (.GDAXI) to open down 1.8 percent at 11,501 and Paris' CAC (.FCHI) to open down 2.1 percent at 5,096.

Read more: https://finance.yahoo.com/news/asia-shares-trampled-wall-street-002201779.html

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Trump blames the Federal a Reserve. He really has no clue as to how any of this works.

[C Moon]

1. "Trump blames the Federal a Reserve. He really has no clue as to how any of this works."

Trump is a figure head. He says things to make the media move in a certain direction. Thus far, it has been working—even though history will show what a dunderhead he was.

[Hugin]

2. My pet theory as to the root of this...

All roads lead to the Kavagnaw appointment.

Investors like stability and confidence...

The appointment showed not only is our judicial system now corrupt, but, everything else is rotten to the core. The FBI by going along with the kabuki dance of the sham investigation clearly demonstrated they are completely controlled by an insane self-interested man and a hollow kangaroo legislature.

So, before, when one was laying their money on the barrelhead they had at least some belief that if they were being robbed or swindled there would be someone on their side from law and regulation enforcement to a nominally nonpartisan judicial system and they might receive some relief. However, now everything has come to light as bad or worse than everyone thought. There is no law and regulation with ultimately no justice. So, no relief. As an investor you're on your own now. The irony here being (as was said all along) Wall Street was ultimately the greatest beneficiary and most dependent on the very system they hate and want to destroy.

On, edit: To put it succinctly, it's really difficult to invest in a spoils system.

Or maybe they're simply stupid.

I expect a bounce, but, I believe we're in a Bear Market for awhile. The perma-bulls can't always be correct.

[duforsure]

3. The trump slump has now started

This was from trump and the gop transferring trillions in wealth to the wealthy taken from the middle class and the poor from their destruction of Medicaid , Medicare, and now they're going after Social Security to destroy. Add to that all the people they caused to lose their ACA, millions, and caused it again to increase in costs for it. You also had trump start these trade wars and tariffs and now wants to blame this on the Federal reserve, when it always in this position raises rates. Now trump after Mid terms will start a war somewhere for profit and for political reasons like W did. He also has allowed oil prices to skyrocket in costs for everyone now while supplying weapons to the UAE and what we got back was they increased oil prices. Under President Obama he kept them down. So is a crash starting , probably. They took so much out of our economy it won't be able to support itself giving all those wealthy people hue tax returns every year for them forever , but your deductions are going to disappear from their tax scam plan. Lots of people losing jobs now from their trickle down reverse robin hood tax scam. Hospitals and clinics starting to close down , and more losing their jobs, and like Ford Motor co. who will have to cut back a billion in their spending. If President Obama was still in office it would still be going good with no slump in sight. Get used to it, the trump slump is here to stay for a while , while trump cons people saying its others fault, which he always uses as an excuse. Con men are like that with always blaming others for their actions, and lying , a lot.

[Farmer-Rick]

5. Yup, yup, yup, you hit the nail on the head

I expected it a couple of years out yet, but this could be the beginning.

When you take out billions of dollars circulating in the economy (taxes on the wealthy) and give it to people who are already hoarding money (the wealthy), you are bound to have an economic depression of some sort.

On top of the money being taken out of circulation, you have a very weak middle class that has not seen a wage increase in decades (Actually, accounting for inflation they have experienced a wage decrease overall.) and has to borrow to stay ahead of poverty. Raising interest rates makes them pull back not only on borrowing but on spending. So the rich are hoarding wealth, the poor are broke and the middle class can't borrow and spend like they use to. Something wicked this way comes and it is coming for this corrupted and failing capitalist economy.

[Achilleaze]

4. "It's all the republicans' fault" - Dirty Donny (R)

Last edited Thu Oct 11, 2018, 07:36 AM - Edit history (1)

"The damn lying republicans tricked me into thinking I could be pResident, and then everything went to shit." - Dirty Donny*

* aka republican Draft-Dodger-in-Chief

[saidsimplesimon]

6. Another market correction coming?

I escaped "the markets" when I retired. There may be another big loss today.

[LovingA2andMI]

7. Its The Storm That Coming...

The Tax Hike on the Middle and Lower Class at the "wants and desires" of the Mega Rich, the ongoing Tariffs Wars, Instability in US Leadership All Around, The Quadfecta (Republicans Control All Four Levels of Government for Now -- The Markets Prefer Check and Balance) and fake economic easing - Paying Farmers to Offset Bad Decisions Around the Tariffs Wars = Government Injection Picking Winners and Losers.

A bumpy ride is ahead. Rebalancing 401K/IRA's/ROTH's might be in order to lessen risk.

[Tobin S.]

8. The stock market usually reacts negatively to rate increases from the Fed

but it's normally a short lived kind of thing, I think. But you couple it with Trump's trade war with China, and you might have the recipe for a longer term slide.

The Dow has actually been stagnant the entire year. Before the loss yesterday it was showing a 2% gain for the year. That got wiped out in one day, and things aren't improving today. If the stock market is an indication of where the economy is headed, it might be slowing down in the near future.