No surprise, the US major stock indices are opening lower.
The S&P is now down over 20% and back in a bear market territory. The price also fell below the May 20 low at 3812.40. The low price has reached 3792.82 so far today. The price is also below the 38.2% retracement of the move up from the pandemic low at 3815.20. All are bearish developments needless to say. The next downside target comes in at 3723.34 which is the swing low going back to March 4, 2021
A snapshot of the major indices are currently showing:
- Dow industrial average -668 points or -2.13% at 30716
- S&P index index -105 points or -2.7% 3795.63
- NASDAQ index -355 points or -3.11% at 10988
- Russell 2000-56.2 points or -3.12% 1744.08
For the NASDAQ index, it's early low has taken the price down -32.27% from its all-time high and to a new low for the year at 10980.40. That low took out the low from May 19 at 11035.69.
Looking at the weekly chart below, the index is moving closer to its 200 week moving average at 10796.89. Back at the start of the pandemic, the sell off took the price down to and through its 200 week moving average (that was the 1st break below that moving average since 2010). The price closed a single week below that level, but then bounced back the following week. The failed break gave buyers a reason to push to the upside, and that ended up as the base for the sharp run up to the November 2022 all-time high.
In other markets as US stock trading gets underway:
- Spot gold is trading down $41 or -2.19% at $1829.86
- Spot silver is down $0.74 or -3.4% at $21.11
- WTI crude oil is trading down -$1.15 at $119.46
- Bitcoin is trading at $23,648.65. The low price for the day reached $23,300 so far
In the US debt market, yields are sharply higher but somewhat steady:
- 2 year 3.20%, +13.4 basis points
- 5 year 3.39%, +13 basis points
- 10 year 3.278% +12 basis points
- 30 year 3.308%, +11 basis points