Network News

X My Profile
View More Activity
2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Wall Street Poised for Plunge Following Global Sell-Off

Wall Street looks like it's ready for a big plunge at opening in about 45 minutes, following a global chain reaction that began here last week.

Asian markets fell overnight, responding to last week's worse-than-expected consumer news from the U.S. In response, Wall Street is set for a sell-off following the drop in the Chinese, Japanese and other Asian markets.

The mood is so sour, the Asian markets seemed not even to notice the announcement this morning that Japan has emerged from its recession.

Wall Street futures point to a 150-point drop in the Dow at the opening bell.

As we reported here last week, consumer confidence has taken a step backward, as Americans face "three major hurdles," Art Hogan, chief market strategist at Jefferies & Co., said in an interview with us last week.

"They are paying down their debt, their houses are not worth as much as they were two years ago and they're staring down the barrel of 10 percent unemployment," Hogan said.

Translation: The recession may be bottoming, but this recovery is going to be long and bumpy.

-- Frank Ahrens
Sign up to get The Ticker on Twitter

By Frank Ahrens  |  August 17, 2009; 8:45 AM ET
Categories:  The Ticker  | Tags: Asian markets, Dow Jones, recession  
Save & Share:  Send E-mail   Facebook   Twitter   Digg   Yahoo Buzz   Del.icio.us   StumbleUpon   Technorati   Google Buzz   Previous: August 14, 2009
Next: Wall Street Plunges at Opening

No comments have been posted to this entry.

The comments to this entry are closed.

 
 
RSS Feed
Subscribe to The Post

© 2010 The Washington Post Company