Asia plunges, European & US futures collapse as panicked investors seek safe haven from perfect storm ravaging markets
Asian markets are trading deep in the red while European and American futures entered a free fall, and gold reached a new 7-year peak, amid a dramatic oil market crash and concerns over the coronavirus-hit global economy slowdown.
Japan’s Nikkei 225 and Topix were down 6 percent in morning trade, while a relatively safe-haven currency Japanese yen soared to a 3-year-high against the US dollar.
South Korea’s Kopsi dropped nearly 3 percent, while Hong Kong’s Hang Seng was down 3.6. Meanwhile in mainland China both Shanghai and Shenzhen composite fell more than 1.5 percent.
Also on rt.com Oil CRASHES 30% over Saudi Arabia-Russia crude price war & coronavirus fears
In Europe, the Euro Stoxx 50 Futures sank more than 6 per cent, while the British FTSE 100 futures were down nearly 7 per cent.
Meanwhile futures for all three major American stock market indices S&P, Dow and Nasdaq are trading nearly 5 per cent down, with S&P 500 E-mini even hitting a limit overnight. The yield on 30-year US Treasuries briefly fell below 1 per cent – for the first time in history – while 10-year Treasuries traded below 0.5% for a while, threatening a chaotic Monday in the US.
The good news is that S&P 500 futures haven’t fallen by more than 5%.The bad news is that exchange rules limit it to a 5% loss.
— Eddy Elfenbein (@EddyElfenbein) March 9, 2020
As the widening coronavirus outbreak and a dramatic crude oil plunge triggered a chain reaction, gold prices jumped past the $1,700 per ounce on Monday for the first time since late 2012, indicating that investors were desperate for a safe haven.
#Gold breaks $1700 on: • Coronavirus fears• Oil price plunges as China demand crashes & Saudi snubs OPEC production cut demand – likely to break US shale oil companies• Ongoing Not QE … So many Black Swans it feels like an eclipse! pic.twitter.com/KATGfCIZ9V
— Silver Gold News (@SilverGold_News) March 9, 2020
Think your friends would be interested? Share this story!
Comments are closed.