US markets are down and appearing to be heading lower. The DOW is off almost 300 points and SPY is down almost 2%. Crude Prices continue to slide, now below $46, but analysts are looking for a small recovery in the next day or two.
Here is the current market situation from CNN Money
North and South American markets are sharply lower today with shares in U.S. off the most. The S&P 500 is down 1.93% while Mexico's IPC is off 1.62% and Brazil's Bovespa is lower by 1.49%.
(Reuters) - The selloff in equities, sparked by Britain's vote to exit the European Union, continued on Monday, setting the Dow and S&P 500 on course for their biggest two-day percentage drop in 10 months.
WASHINGTON (Reuters) - Senior Obama administration officials sought to calm jittery markets on Monday, insisting there was no financial crisis brewing after Britain's vote to leave the European Union and urging officials on both sides to take a "responsible" approach to the looming separation.
NEW YORK (Reuters) - The Illinois Department of Insurance has approved Aetna Inc's proposed $34 billion acquisition of Humana Inc provided it is approved by the U.S. Department of Justice, according to an order dated June 23 posted on the department's website.
(Reuters) - Burrito chain Chipotle Mexican Grill Inc said it will launch a limited-period loyalty program, betting on a strategy it had previously shunned, to lure back customers after a string of food safety lapses last year.
LONDON (Reuters) - Britain's government has scrapped plans to sell stakes in Royal Bank of Scotland and Lloyds Banking Group this year in the wake of the Brexit vote, sources said, a decision set to leave a multi-billion pound hole in its finances. The Treasury had planned to further reduce its exposure to the banks it took over during the financial crisis, by raising 9 billion pounds ($11.9 billion) via sales of stock to fund managers and a discounted offer to the p
NEW YORK (Reuters) - The stress tests created for banks by U.S. regulators after the 2008 financial crisis may prove their worth this week, providing a timely message on banks' hardiness in the midst of turbulence over last week's vote by Britain to leave the European Union.
WASHINGTON (Reuters) - U.S. Treasury Secretary Jack Lew said on Monday that policymakers in Britain and other European nations and elsewhere should use all available tools, including fiscal and monetary policy and structural reforms, to boost global demand in the aftermath of the UK vote to leave the European Union.
Greece's Finance Ministry is determined to collect what belongs to the state and as KeepTalkingGreece reports, since repayment settlements and other forms of arrangements have apparently failed in pushing debtors to put their hands in their pockets, the ministry will call in the internet cavalry: it will name & shame on the web the names of those debtors owing more than 300,000 euro to tax office or to social security and pension funds.
The provision that it will make mandatory the disclosure of debtors' names will be included in the bill for "smuggling of tobacco products" expected to be submitted to the Parliament soon.
The provision will affect debtors owing to the tax office more than 300,000 euro and to social security funds amounts more than this. If the debtor owes to the tax office and the social security funds the total amount of debt will be published.
In the wake of this provision, the General Secretariat of Public Revenues has reportedly already sent notification to big debtors calling them to settle their debts by end of the month.
We Like Buying Oil here into July, we think Brexit is the last trade, and we are already moving forward to the next trade. Gasoline is too cheap going into the strongest demand month of the year, it is not like Europeans are suddenly going to stop taking advantage of the warmer weather and stay inside all July fretting over the Brexit vote. If there is anytime to buy oil and gasoline on a pullback it is into the strongest refinery utilization month of the year.
For the first time since early March, The Dow dropped back near 17,000 earlier (down over 1000 points from the pre-Brexit peak) with a modest bounce off the EU close lows. However, this plunge across risk assets has erased all post-QE3 gains with Trannies down 20% since Oct 2014. Having been almost 200 points 'rich' to the Fed balance sheet, it appears reality is setting in once again and risk is mean-reverting.
Which, once again, reverts S&P to its Fed Balance Sheet implied level...
FV is around 1960 - but as we saw in Aug 2015 and Jan 2016, the market must overshoot before The Fed will jawbone it back to hope.
If anyone needs another confirmation that the European Union is fundamentally the most anti-democratic entity currently in existence, then the following statement by European Parliament Martin Schultz should put all confusion to rest.
Schulz: "The British have violated the rules. It is not the EU philosophy that the crowd can decide its fate".
Schulz: "The British have violated the rules. It is not the #EU philosophy that the crowd can decide its fate". #TBC https://t.co/z0mujO09eG
— TaleofTwoTreaties (@Taleof2Treaties) June 27, 2016
Confused: Here is what Deutsche Bank said earlier today:
The shockwaves and consequences around Brexit will resonate for years. It's probably an understatement to say that most in financial markets regret the UK's decision to leave but we should respect the forces that have been pushing us towards what has always been an inevitable political accident sometime soon. I wasn't sure whether the Brexit vote was the one but I was pretty convinced one was coming and this is probably not the last. Spain yesterday started a general election cycle (more below but relatively market friendly) of the largest 5 euro-area economies (Spain, Holland, France, Germany and Italy) over the next 18 months or so, not forgetting the US this November. Throw in the crucial senate reform vote in Italy in October and you've got plenty of opportunity for rebellion against the establishment that haven't managed to produce satisfactory enough growth for the lowe ...
Econintersect wants your comments,
data and opinion on the articles posted. As the internet is a
"war zone" of trolls, hackers and spammers - Econintersect must balance its
defences against ease of commenting. We have joined with Livefyre
to manage our comment streams.
To comment, using Livefyre just click the "Sign In" button at the top-left corner of
the comment box below. You can create a commenting account using your
favorite social network such as Twitter, Facebook, Google+, LinkedIn or
Open ID - or open a Livefyre account using your email address.
You can also comment using Facebook directly using he comment block below.
Econintersect Live Market
Print this page or create a PDF file of this page
The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.
Take a look at what is going on inside of Econintersect.com