{"id":51675,"date":"2020-03-09T16:22:29","date_gmt":"2020-03-09T21:22:29","guid":{"rendered":"https:\/\/olduvai.ca\/?p=51675"},"modified":"2020-03-09T16:22:33","modified_gmt":"2020-03-09T21:22:33","slug":"black-monday-part-two","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=51675","title":{"rendered":"Black Monday… Part Two"},"content":{"rendered":"\n

Black Monday… Part Two<\/a><\/h3>\n\n\n\n

At its lows today, this was the market’s biggest down day since 1987 (by the close the biggest since Oct 2018)!<\/strong><\/p>\n\n\n\n

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Source: Bloomberg<\/em><\/figcaption><\/figure>\n\n\n\n

In a reflection of the total loss of faith policymakers among BTFDers, @Sentimentrader notes that:<\/p>\n\n\n\n

This is the only day in the history of S&P 500 futures that they gapped down more than -5% and didn’t close above the open.<\/strong><\/em><\/p><\/blockquote>\n\n\n\n

Did the 11-year-long, almost unstoppable bull run that started on March 9, 2009, just end on March 9, 2020?<\/p>\n\n\n\n

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Source: Bloomberg<\/em><\/figcaption><\/figure>\n\n\n\n

Here\u2019s another stat for the record books. Total U.S. Trading volume, on a 10-day moving average basis, is now higher than during the meltdown in 2008. <\/strong>Volume is another whopper today, over 17 billion shares.<\/p>\n\n\n\n

\"\"\/
Source: Bloomberg<\/em><\/figcaption><\/figure>\n\n\n\n

Thanks to the market perceiving President Trump’s response as remaining one of\u00a0“denial”\u00a0of the scale of the problem<\/strong>, and concerns that any\u00a0fiscal stimulus will be underwhelming<\/strong>, things were already anxious as markets opened Sunday night. But the situation was worsened considerably as both Russia and Saudi Arabia stood poised to\u00a0flood the market with cheap crude (supply)<\/strong>\u00a0in an all-out price war just as the coronavirus is spurring the\u00a0first\u00a0contraction in\u00a0demand\u00a0since 2009<\/strong>.<\/p>\n\n\n\n

\u201cThe situation we are witnessing today seems to have no equal in oil market history,\u201d <\/strong>said IEA Executive Director Fatih Birol.<\/p>

\u201cA combination of a massive supply overhang and a significant demand shock at the same time.\u201d<\/p><\/blockquote>\n\n\n\n

Oil futures fell by about one-third<\/strong> in New York and London on Monday, the biggest drop since the Gulf War in 1991<\/strong>, before pulling back to a 20% decline.<\/p>\n\n\n\n

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Source: Bloomberg<\/em><\/figcaption><\/figure>\n\n\n\n

Crashing below $30!<\/p>\n\n\n\n

\"\"\/<\/figure>\n\n\n\n

Crashing US HY Energy sector bond prices…<\/p>\n\n\n\n

\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"

Black Monday… Part Two At its lows today, this was the market’s biggest down day since 1987 (by the close the biggest since Oct 2018)! In a reflection of the total loss of faith policymakers among BTFDers, @Sentimentrader notes that: This is the only day in the history of S&P 500 futures that they gapped […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[8405,1849],"class_list":["post-51675","post","type-post","status-publish","format-standard","hentry","category-economics","tag-black-monday","tag-financial-markets"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/51675","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=51675"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/51675\/revisions"}],"predecessor-version":[{"id":51677,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/51675\/revisions\/51677"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=51675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=51675"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=51675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}