S&P 500 futures trading 4.78% lower after a desperate move from Fed to reduce interest rates by 100 basis points in an attempt to calm markets amid the coronavirus outbreak impact. Fed also announced that would buy back $700 million of Treasurys and mortgage-backed securities to revive the USD liquidity. Reserve Bank of New Zealand (RBNZ) cut the key interest rates by 75 basis points. The Bank of Japan has doubled the ETF purchase target to JPY12 trillion.
As of writing the S&P 500 futures are 4.78% lower at 2555. The Dow Jones futures are 4.55% lower at 21798, while the Nasdaq futures are 4.55% lower at 7541.
European Stocks Plunge
European indices are trading sharply lower by midday as recession fears rise. The DAX Index is 9.03% lower at 8,395 while the CAC 40 is 10.61% lower at 3,678. FTSE 100 is 7.04% lower at 4,989 while the FTSE Mib index is 9.57% lower at 14,427.
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Cryptocurrencies Give Up Over 10%
Cryptocurrencies selling pressure accelerates by midday, the bitcoin (BTCUSD) is 11.20% lower at $5681. Ethereum (ETHUSD) is 21.74% higher at 132.97. Ripple (XRPUSD) is 25.01% lower at 0.1555 while Litecoin (LTCUSD) is 25.45% lower at 36.51
Crude Oil Slumps Below $30
Crude oil price slumps below $30 after Fed chair Powell failed to clam markets. The WTI crude oil is 8.45% lower at $28.99. Brent crude oil is 14.09% lower at $30.12.
Gold also crashed today, giving up 4.31% at $1464 after five consecutive sessions of loses. Silver price is 15.97% lower at $12.32.
In forex markets, the US dollar index is 0.79% lower at 97.92. The Euro is 0.55% higher at 1.1167 against the USD. The British pound is 0.02% lower against the USD at 1.2275. The Japanese yen attracts investors interest as a safe haven asset; the USDJPY pair is 2.39% lower at 105.40.
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