Traders were in the mood to sell and sell they did. Stocks, gold and silver, crude oil, and bonds were all sold today.
Disappointing earnings results both here in the U.S. and abroad helped spark the sell-off in stocks today.
European markets started the downturn with all of the major European markets posting losses. The German DAX was the worst performer with a -1.94% decline.
Concerns over a global economic slowdown seem to intensify on Thursday. There are also concerns about the U.S. jobs numbers tomorrow. If the jobs numbers is too low then it might suggest the economy is stalling. If the jobs numbers is too high then investors worry the Fed might hike rates faster than anticipated. Yesterday the U.S. reported a much stronger than expected Q2 GDP number but the stock market failed to react positively to it.
Today the S&P 500 and the NASDAQ Composite both fell -2.0%. The small cap Russell 2000 index lost -2.3%. The Dow Jones Industrials plunged -317 points and erased its gains for the year.
Looking at the futures trading for Asian markets it would appear that this wave of selling will continue once Asian markets open tomorrow.
The July jobs report could spark more volatility on Friday morning.
We are not adding any new trades tonight.