Oh, Great: Japan Opens Down 5%

UPDATE: So much for the hope that the mid-afternoon bounce might be a short-term global bottom. Hard to say for certain whether Japan is catching up to us or leading us, but in any event, after half an hour of trading, it’s down 5% (and below 10,000).

And while we’re on that not-so-pretty topic, it’s worth mentioning that Japan’s Nikkei is now trading at one-quarter of its level in 1989. If that doesn’t scare the bejezus out of you, we don’t know what will.

EARLIER: Compared to the down-800 points of the early afternoon, the finish wasn’t so bad. (We suspect Mr. Cramer contributed to the panic after scaring the bejezus out of everyone on the Today Show this morning.). 

Still… credit still extraordinarily tight, fundamentals awful and getting worse, and stocks still above fair value (though we got close today).  So hard to see much changing the fundamental trend anytime soon. (Huge rate cut?)

The good news: The implied long-term return on the stock market is better than it has been in years.  Still not great, but better.

* Emerging markets down most ever
* Credit markets even tighter, TED a record
* Google at $360, GE at $20, Apple briefly below $90
* Citi lays out its $60 Billion legal demands
* Commodities obliterated, oil below $90
* 100% chance of 50 BP Fed cut, 60% 75BP

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