6 Jan, 2014, (8:23 AM IST)
Jan 5, 2014, (9:53pm EST)
Fellow traders, the magic show has begun in world markets again (where your money will disappear by speculators’ magic *haha* 🙂 )
Going by highly negative numbers in Asian markets, it looks like bears are in full charge of world markets today. Party because of negative Chinese data, and partly; thanks to some divine word by the outgoing Fed Chairman Ben Bernanke on Friday last about faster growth in U.S. economy.
Unfortunately, I missed Mr. Bernanke’s speech (have yet to master the art of attending to two divinities at one time 🙂 ). But markets’ reaction today is confirming the continuation of bearish trend in world markets.
The Dollar index jumped up with a positive breakout on Friday and crossed its major resistance of 81. It is still holding up that level. Nikkei has lost more than -2% in early session today, losing all gains it had made over the last four sessions. SGX Nifty is trading nearly -38 points down, indicating a gap down opening for Indian markets as well.
U.S. and European stock futures have just started sliding down in the red zone.
Later today, a barrage of economic reports is scheduled to hit euro zone markets.
Expect world markets to witness some volatility at that time. Overall, a lower trend has been established in world markets and now, the only point is to watch how big or small this trend will be today and in coming sessions.
The earning season is also back and that will make the road bouncier for stocks.
Enjoy the volatile ride in markets, have fun and have a great start of the trading week in markets today!
See you later.