I don’t follow the stock market at all. Nope, not interested — I have no direct personal investment, although I am sure a lot of my retirement funds may be attached to stocks of some sort. What do I know? Ask me about spiders, cephalopods, or zebrafish and I’ll respond enthusiastically, but money? I don’t have much, so it’s not on my radar.
But I do know enough to guess that “cratering” is not a word you want to see in the financial news. Probably “plunge”, “big losses”, “panic”, and “apoplectic” are not good things to hear from the grown-ups, either.
“The stock market is looking at the oil price plunge as a canary in the coal mine of a disinflationary one-two punch, driven partly by cratering demand for transportation fuels and a wanton price war among the major oil producers” that will result in big losses for U.S. and Canadian producers.
Global markets were apoplectic. Japan’s Nikkei closed down more than 5 percent, while Hong Kong’s Hang Seng Index shed more than 4.2 percent. European markets were tumbling more than 7 percent across the board in midday trading.
Panic pushed the yield on the U.S. 10-year Treasury below 0.4 percent for the first time in history Monday as investors fled for safe havens. The trajectory could be an ominous sign of a weakening economy, because a low yield can indicate a lack of confidence in economic growth. Yields decline as bond prices rise. Gold, another safe haven, was up 0.4 percent in early trading.
On top of that, Maxine Waters tells some Wells Fargo board members to resign, and…they do! Either Waters is even scarier than I thought, or Wells Fargo is more rotten than I expected and its executives know it, or both. The rats are scurrying to leave the ship.
I don’t like this subject. Can we talk about spiders instead?