Photo: Google Finance
UPDATE 2:50 PMStocks have been inching up after seeing their lows at around 1:30. The Dow is down around 116 points.
The Nasdaq is still looking pretty bad, down 1.6 per cent.
UPDATE 11:50 AM
Stocks are off of their lows. The Dow is now off by 150.
European stock markets closed 20 minutes ago deep in the red, while Spanish yields remained near their highs.
UPDATE 10:55 AM
The Dow is now off 175 points. The sell off seems to be getting worse.
The increasingly hawkish tones from the ECB and Fed are sending the dollar up, while crushing gold prices. Gold futures are down down $54 to $1617/oz.
ORIGINAL 10:30 AM
Stocks are getting demolished today.
An hour into the U.S. trading session, the Dow was down by 156 points and the Nasdaq was off by 1.4 per cent.
This follows today’s European Central Bank interest rate announcement where ECB president Mario Draghi signaled that no more additional liquidity was coming. Draghi warned about the “upside risks” to inflation.
That followed yesterday’s FOMC minutes where the Fed more or less signaled the same thing.
This seems to be the new theme being communicated by the experts lately: the liquidity rally is over.