U.S. Stock Indexes Plunge To 1-1/2 Month Lows On Bank Sell-Off And Covid Concerns
Rich Asplund - Barchart - Mon Sep 21, 10:14AM CDT
The S&P 500 Index ($SPX) this morning is down -2.43%, the Dow Jones Industrials Index ($DOWI) is down -2.83%, and the Nasdaq 100 Index ($IUXX) is down -1.88%.
U.S. stock indexes this morning have sold-off sharply down to 1-1/2 month lows. A plunge in bank stocks today is undercutting the overall market. Bank stocks fell after an investigation by the International Consortium of Investigative Journalists (ICIJ) said that major global banks have "kept profiting from powerful and dangerous players" over the past two decades even after the U.S. imposed penalties on many major banks. The ICIJ said that more than $2 trillion in transactions between 1999 and 2017 were flagged by the internal compliance officers of major big banks as possible money laundering or other criminal activity.
Concern that a worsening of the Covid pandemic will derail the global economic recovery is also weighing on stocks today. In Europe, Germany's health minister said the trend of new Covid cases is "worrying," and the UK said the rate of Covid infections could reach around 50,000 per day by mid-October without curbs. Also, the seven-day average of new Covid infections in France has risen above 10,000 for the first time. U.S. Covid deaths are approaching 200,000. The ongoing Covid pandemic has undercut global growth and is a bearish factor for stocks. Infections have risen above 31.312 million around the world, with deaths exceeding 966,000.
Today's U.S. economic data is bearish for stocks after the U.S. Aug Chicago Fed national activity index unexpectedly fell -1.75 to 0.79, weaker than expectations of an increase to 1.19.
Energy stocks are moving lower and weighing on the overall market with crude prices down sharply by more than -4% today.
A plunge in European stocks today is also undercutting U.S. stocks. The Euro Stoxx 50 is down -3.94% today at a 2-3/4 month low on Covid concerns along with a downbeat report from the Bundesbank. In its monthly report today, the Bundesbank said that the manufacturing and services sectors during the summer remained significantly below pre-Covid levels and that it expects the German economic recovery to continue at a slower pace during the rest on the year.
The VIX S&P 500 Volatility Index ($VIX) this morning jumped to a 1-1/2 week high of 31.18 and is currently up by +4.87 at 30.70, moving farther above last Wednesday's 3-week low of 24.84. The VIX has fallen sharply since posting a 3-month high of 38.28 on Sep 4 but remains well above Aug's 6-1/2 month low of 20.28.
Source: Barchart
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Copyright © 2020 Dinar Chronicles
Rich Asplund - Barchart - Mon Sep 21, 10:14AM CDT
The S&P 500 Index ($SPX) this morning is down -2.43%, the Dow Jones Industrials Index ($DOWI) is down -2.83%, and the Nasdaq 100 Index ($IUXX) is down -1.88%.
U.S. stock indexes this morning have sold-off sharply down to 1-1/2 month lows. A plunge in bank stocks today is undercutting the overall market. Bank stocks fell after an investigation by the International Consortium of Investigative Journalists (ICIJ) said that major global banks have "kept profiting from powerful and dangerous players" over the past two decades even after the U.S. imposed penalties on many major banks. The ICIJ said that more than $2 trillion in transactions between 1999 and 2017 were flagged by the internal compliance officers of major big banks as possible money laundering or other criminal activity.
Concern that a worsening of the Covid pandemic will derail the global economic recovery is also weighing on stocks today. In Europe, Germany's health minister said the trend of new Covid cases is "worrying," and the UK said the rate of Covid infections could reach around 50,000 per day by mid-October without curbs. Also, the seven-day average of new Covid infections in France has risen above 10,000 for the first time. U.S. Covid deaths are approaching 200,000. The ongoing Covid pandemic has undercut global growth and is a bearish factor for stocks. Infections have risen above 31.312 million around the world, with deaths exceeding 966,000.
Today's U.S. economic data is bearish for stocks after the U.S. Aug Chicago Fed national activity index unexpectedly fell -1.75 to 0.79, weaker than expectations of an increase to 1.19.
Energy stocks are moving lower and weighing on the overall market with crude prices down sharply by more than -4% today.
A plunge in European stocks today is also undercutting U.S. stocks. The Euro Stoxx 50 is down -3.94% today at a 2-3/4 month low on Covid concerns along with a downbeat report from the Bundesbank. In its monthly report today, the Bundesbank said that the manufacturing and services sectors during the summer remained significantly below pre-Covid levels and that it expects the German economic recovery to continue at a slower pace during the rest on the year.
The VIX S&P 500 Volatility Index ($VIX) this morning jumped to a 1-1/2 week high of 31.18 and is currently up by +4.87 at 30.70, moving farther above last Wednesday's 3-week low of 24.84. The VIX has fallen sharply since posting a 3-month high of 38.28 on Sep 4 but remains well above Aug's 6-1/2 month low of 20.28.
Source: Barchart
______________________________________________________
If you wish to contact the author of any reader submitted guest post, you can give us an email at UniversalOm432Hz@gmail.com and we'll forward your request to the author.
______________________________________________________
All articles, videos, and images posted on Dinar Chronicles were submitted by readers and/or handpicked by the site itself for informational and/or entertainment purposes.
Dinar Chronicles is not a registered investment adviser, broker dealer, banker or currency dealer and as such, no information on the website should be construed as investment advice. We do not support, represent or guarantee the completeness, truthfulness, accuracy, or reliability of any content or communications posted on this site. Information posted on this site may or may not be fictitious. We do not intend to and are not providing financial, legal, tax, political or any other advice to readers of this website.
Copyright © 2020 Dinar Chronicles
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