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Hey I am on Medialย โขย 8m
A brief summary of "Black Monday" on global markets for those who missed everything or don't want to scroll through their feed. You're welcome (or not): 1. The U.S. Federal Reserve previously refused to lower the key interest rate until September. The next day, poor employment and economic data were released, indicating that the economy is cooling. Many believe that the Fed delayed the rate cut too long. Traders are on edge. ๐ฌ 2. The Bank of Japan unexpectedly raised its key interest rate from 0.1% to 0.25%. The yen's exchange rate plummeted along with government debt. The central bank tried to stabilize the situation, and the yen responded by rising from 160 to 140 yen per dollar. But traders were spooked, as the export-oriented economy is not prepared for such a strong yen. ๐น 3. The Japanese market opened with a steep dive of -12.40%. This is the largest drop since 1987. ๐ 4. The shockwaves hit Asian marketsโSouth Korea and the rest of Asia tumbled by 10%. In some places, trading was even halted. ๐ฉ๏ธ 5. Europe woke up next and fell by 3-6%. They got off relatively lightly. ๐ 6. But the U.S. didn't fare as wellโ$2 trillion in market capitalization was wiped out in the first 15 minutes of trading. Fears of a recession are high. ๐จ 7. The U.S. Treasury denied the start of a recession but noted that the country is "uncomfortably close" to one. This reassurance didn't helpโS&P 500 dropped by 3.18%. It might not seem like much, but it has been falling all last week as well. ๐จ 8. The market heatmapโeverything is red, and there's no end in sight. ๐ฅ 9. Intel's CEO, facing a 36% drop in stock prices, prayed openly on Twitter. ๐ 10. The Fed refused to convene an emergency meeting to lower the rate. This meansโitโs not over yet. Tomorrow will be crucial. ๐ฌ
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