Wall Street in Panic: US stock markets close with biggest losses since September
The Dow Jones Industrial Average lost 391.86 points (2.39 percent) on Friday, making it the largest daily point loss since September of last year. The sell-off was triggered by plummeting oil prices and turmoil in Chinese markets.
The Dow hasn’t seen such a momentous loss since September 1, 2015, when it lost 469.68 points (2.84 percent).
Additionally, the S&P 500 suffered a loss of 41.57 points (2.16 percent) by the time of closing, and Nasdaq Composite lost 126.59 points (2.74 percent) by 4 p.m. EST.
The S&P 500 fell below its August low of 1,867, trading more than 3 percent lower by midday. The Dow also showed a drop of more than 3 percent, losing over 500 points. The Nasdaq composite lost more than 4 percent during the same period. read more…
RBS tells investors: ‘sell everything’ as crisis nears
The Royal Bank of Scotland has recommended its clients prepare for a “cataclysmic year,” as major stock markets could drop by a fifth and Brent oil could hit $16 a barrel.
“Sell everything except high quality bonds. This is about return of capital, not return on capital. In a crowded hall, exit doors are small,”said the bank’s credit team in a note sent to clients, quoted by the Telegraph.
According to RBS analysts, the markets are showing the same stress alerts as seen before the 2008 crisis. read more…