{"id":62039,"date":"2022-02-27T18:45:39","date_gmt":"2022-02-27T23:45:39","guid":{"rendered":"https:\/\/olduvai.ca\/?p=62039"},"modified":"2022-02-27T18:45:39","modified_gmt":"2022-02-27T23:45:39","slug":"all-hell-breaks-loose-as-global-markets-open-stocks-crash-oil-gold-surge","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=62039","title":{"rendered":"All Hell Breaks Loose As Global Markets Open: Stocks Crash, Oil &#038; Gold Surge"},"content":{"rendered":"<header class=\"ArticleFull_header__Eyn7V\">\n<h3 class=\"ArticleFull_title__MEgbb\"><a href=\"https:\/\/www.zerohedge.com\/markets\/traders-brace-chaotic-fx-market-open-ruble-set-collapse\">All Hell Breaks Loose As Global Markets Open: Stocks Crash, Oil &amp; Gold Surge<\/a><\/h3>\n<\/header>\n<div class=\"NodeContent_mainContent__t4rGu\">\n<div class=\"NodeContent_body__6iJOI NodeBody_container__hI8PI\">\n<p><strong>Update (1800ET):<\/strong>\u00a0As expected &#8211; all hell breaks loose in global markets as futures open&#8230;<\/p>\n<p>US equity futures are down 3% at the open &#8211; erasing all of Friday&#8217;s melt-up&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-08-29.jpg?itok=YJIS9qOe\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-08-29.jpg?itok=YJIS9qOe\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-08-29.jpg?itok=YJIS9qOe\" alt=\"\" width=\"500\" height=\"300\" data-entity-type=\"file\" data-entity-uuid=\"65d1698f-f472-4b27-910f-9f6f671d8878\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<div class=\"AdvertisingSlot_desktop__lDlm4 AdvertisingSlot_tablet__MndqJ AdvertisingSlot_mobile__7vsEF AdvertisingSlot_placement__b8TLC AdvertisingSlot_align__800B1\">\n<aside id=\"in-content-video\" class=\"AdvertisingSlot_verticallySpaced__MBqFK\" data-google-query-id=\"CLj7rJWIofYCFZXBswodizoIPA\">\n<div id=\"google_ads_iframe_\/21841313772,21778456762\/zerohedge\/in_content_video_0__container__\"><\/div>\n<\/aside>\n<\/div>\n<p>The Euro is plunging&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-07-31.jpg?itok=DtVCZXhv\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-07-31.jpg?itok=DtVCZXhv\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-07-31.jpg?itok=DtVCZXhv\" alt=\"\" width=\"500\" height=\"282\" data-entity-type=\"file\" data-entity-uuid=\"0e6d2a84-adc8-4ddc-8005-b31963064d7e\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Bitcoin was already sliding into the open&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-13-02.jpg?itok=mDef8mS5\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-13-02.jpg?itok=mDef8mS5\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-13-02.jpg?itok=mDef8mS5\" alt=\"\" width=\"500\" height=\"283\" data-entity-type=\"file\" data-entity-uuid=\"34d6acba-1531-4b8f-bb04-f9d826624579\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Treasuries are bid&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-06-56.jpg?itok=kvqCKCnW\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-06-56.jpg?itok=kvqCKCnW\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-06-56.jpg?itok=kvqCKCnW\" alt=\"\" width=\"500\" height=\"254\" data-entity-type=\"file\" data-entity-uuid=\"f5e97725-d41e-499a-9273-b20f75d4d658\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Which implied 10Y Yields are down around 10bps&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-16-50.jpg?itok=fi-3flcr\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-16-50.jpg?itok=fi-3flcr\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-16-50.jpg?itok=fi-3flcr\" alt=\"\" width=\"500\" height=\"280\" data-entity-type=\"file\" data-entity-uuid=\"346488c4-bac0-4c9e-a046-86f49c63b59d\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Gold is also soaring&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-03-39.jpg?itok=Gzu03XC9\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-03-39.jpg?itok=Gzu03XC9\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-03-39.jpg?itok=Gzu03XC9\" alt=\"\" width=\"500\" height=\"254\" data-entity-type=\"file\" data-entity-uuid=\"6423271a-161a-4b07-a037-5a71633ac1a9\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>As is palladium, and crude oil prices are shooting back up to last week&#8217;s highs&#8230;<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/2022-02-27_15-03-50.jpg?itok=si9vAIPg\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/2022-02-27_15-03-50.jpg?itok=si9vAIPg\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/2022-02-27_15-03-50.jpg?itok=si9vAIPg\" alt=\"\" width=\"500\" height=\"254\" data-entity-type=\"file\" data-entity-uuid=\"c6b1b1f7-80e0-4f56-85a1-a74664614f58\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p><em>So is tomorrow &#8216;<a href=\"https:\/\/www.zerohedge.com\/markets\/pozsar-warns-another-lehman-weekend-russia-sanctions-may-trigger-central-bank-liquidity\">Lehman<\/a>&#8216; or &#8216;<a href=\"https:\/\/www.zerohedge.com\/markets\/55-day-rule-expires-tomorrow\">1987<\/a>&#8216;?<\/em><\/p>\n<p>*\u00a0 *\u00a0 *<\/p>\n<p>As we detailed earlier, a great deal has changed for Russia (and Ukraine) since the close on Friday and traders are bracing for chaotic movers in commodity, bond,\u00a0and FX markets.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/800x-1_14.jpg?itok=igv1pPX0\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/800x-1_14.jpg?itok=igv1pPX0\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/800x-1_14.jpg?itok=igv1pPX0\" alt=\"\" width=\"500\" height=\"333\" data-entity-type=\"file\" data-entity-uuid=\"b7d5d1b9-3c1b-41dd-94e8-a02b74b6b295\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Amid ATMs drying up, Central and Commercial bank sanctions (as well as personal sanctions), and talk of SWIFT-constraints; combined with significant credit ratings downgrades, capital flow from Russian assets could accelerate fast as we suspect most traders will live by the &#8216;Margin Call&#8217; maxim of &#8220;be first, be smarter, or cheat&#8221; and sell-first before asking questions (despite some potential silver lining from talk of Ukraine being willing to talk).<\/p>\n<p><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-02-27\/traders-brace-after-russia-sanctions-stepped-up-ratings-cut?srnd=premium&amp;sref=ZMFHsM5Z\">As Bloomberg reports,<\/a>\u00a0sanctioning Russia\u2019s central bank is likely to have a dramatic effect on the country\u2019s economy and its banking system, Elina Ribakova, deputy chief economist for the Institute of International Finance, said before the latest round of penalties was announced.<\/p>\n<blockquote><p>\u201c<em><strong>This would likely lead to massive bank runs and dollarization, with a sharp sell-off, drain on reserves &#8212; and, possibly, a full-on collapse of Russia\u2019s financial system.<\/strong><\/em>\u201d<\/p><\/blockquote>\n<p>S&amp;P Global cut Russia&#8217;s credit rating one notch to BB+ (and Moody&#8217;s said it was reviewing for a potential downgrade, which could take Russian debt into junk). Additionally Ukraine was also downgraded to CCC from B.<\/p>\n<p><strong>The economic impact of the various sanctions are significant&#8230;<\/strong><\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/image%20-%202022-02-27T093128.639.png?itok=xgchKkcy\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/image%20-%202022-02-27T093128.639.png?itok=xgchKkcy\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/image%20-%202022-02-27T093128.639.png?itok=xgchKkcy\" alt=\"\" width=\"500\" height=\"504\" data-entity-type=\"file\" data-entity-uuid=\"c52a96d1-d719-4bed-852a-36574bbd9e03\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>All Hell Breaks Loose As Global Markets Open: Stocks Crash, Oil &amp; Gold Surge Update (1800ET):\u00a0As expected &#8211; all hell breaks loose in global markets as futures open&#8230; US equity futures are down 3% at the open &#8211; erasing all of Friday&#8217;s melt-up&#8230; The Euro is plunging&#8230; Bitcoin was already sliding into the open&#8230; Treasuries [&hellip;]<\/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":[2,5],"tags":[1849,368,694,821,4318],"class_list":["post-62039","post","type-post","status-publish","format-standard","hentry","category-economics","category-geopolitics","tag-financial-markets","tag-global-markets","tag-russia","tag-ukraine","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/62039","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=62039"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/62039\/revisions"}],"predecessor-version":[{"id":62040,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/62039\/revisions\/62040"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=62039"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=62039"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=62039"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}