11 March 2020

Limit Down - Stock Futures Plunge Into Bear Market Territory

I was watching the futures as President Trump addressed the nation.

Survey says:   LIMIT DOWN

Overnight markets in the US are falling as you can see in the charts below.

Overseas markets are falling hard as they open in the down 4% range.

A 'V shaped recovery' that the stock touts have been talking about is off the table barring something utterly unexpected.

The drag on the economy is going to last well into the second half of this year at least.

As for the markets, they may get a sugar high if the Fed cuts 100 bp as Trump is demanding. But that will not last.

But for tonight, perhaps the Plunge Protection Team can do some good for their constituents on Wall Street.  Or not.

No doubt the con games and narrative spin will continue until morale improves.