Here We Go Again: Japan Crashes

Wait a minute. What happened to the 50% retracement suckers’ rally that was supposed to lure everyone in and wipe them out?  The consensus was only just starting to get bullish when the S&P closed up 25% from the bottom!

In any event, Japan down 5%, Europe down 2%, oil down $1 to $36, etc.

Reuters: Fears of steep losses at U.S. bank Citigroup and Asian industry giants such as Sony pummelled shares on Tuesday and bolstered government debt.

The euro slid to a one-month low against the dollar and the yen as the European Central Bank looked set to cut interest rates again this week, while oil continued to drop on fears about reduced energy demand as the world economy shrinks. Two-year euro zone government bond yields briefly fell to their lowest since the launch of the euro in 1999, according to Reuters charts, as a new wave of risk aversion took hold.

Oil fell more than $1 a barrel to its lowest in more than two weeks, as investors grew more pessimistic about energy demand on signs the world economy will slow down sharply.

U.S. light crude for February delivery fell $1.19 to $36.40 a barrel by 0715 GMT (2:15 a.m EST), the weakest level since December 26.


Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.