Middle East Markets Take a Hit

The Middle East stock market took a hit in trading today. It looks like Israel, Saudi Arabia and Dubai markets all took fairly significant hits.

Middle East Markets

My guess is that Wall St is going to take its lumps come tomorrow. It's being reported that $2.5 Trillion has been wiped off the world's stocks.

$2.5 Trillion go bye-bye

I'm not trying to be all doom and gloom and a fearmonger by any means, but of course this doesn't bode well for anyone. The good thing is...the people in charge have this all under control since this has all be orchestrated from way back.

So...thoughts on the foreign markets and Wall St tomorrow?

reply to post by iNkGeEk


Good maybe this will teach a lesson to those east Libyan terrorists, for once i really do wish for the markets would just crash.

G7 finance ministers are meeting right now to try and stop the bleeding later today and tomorrow...

The middle east is getting tanked only because they are the first to open.

Lest we forget the Italy crisis and the effect it's going to have?

The European Central Bank is holding an emergency telephone conference Sunday on how to fend off financial collapse in Italy while officials from rich and developing countries discussed ways to stabilize markets when they reopen after Friday's U.S credit-rating downgrade.
A eurozone official told The Associated Press that central bank leaders were to discuss possible purchases of Italian government bonds _ a risky move but one that could help drive down bond interest yields that are threatening the heavily indebted country's finances.

AND...

Middle East markets, open Sunday through Thursday, were the first to react to the downgrade. Egypt's benchmark EGX30 index fell more than 4 percent, and other Gulf markets also were sharply lower.
Israel's Tel Aviv Stock Exchange delayed the start of the week's first session after pre-market trade showed the benchmark index dropping more than 6 percent because of concerns over the U.S. debt rating cut. Exchange spokeswoman Idit Yaaron said the start was pushed back by 45 minutes "so market players will have time to react logically and not under pressure."
Israel's benchmark TA-25 index plunged 7 percent to close at 1,074 points.

www.stltoday.com...

Tomorrow is going to be crazy... The volatility will be like nothing we've seen.

~Namaste

reply to post by SonOfTheLawOfOne


I think you got it right, volatility. Usually in the event of bad news that happens on a Friday right after the closing bell by Monday people have chilled out and World leaders come out and vomit BS all over the podium about saving the World with more liquidity, backstops, and other financial shenanigans.

But then again, this has never happend before .. so who knows. If anyone here is invested in the market via a fund I'd seriously consider what you invest in .. I have a feeling our nearly retired crowd is about to loose the other half of their life savings.

So if the Middle East markets are dropping by 4-7% what could we expect Western European and American stock markets to fall by. This is all hypothetical of course as no one clearly know but if you had to place a bet on a specific percent mark like -5% what would you say?

In my opinion it will probably be a little worse than the ME markets so a drop of 7% for the Dow Jones Industrial Average would be my prediction.

None of this is looking good regardless of how the news media and government try and frame it.

reply to post by SonOfTheLawOfOne

G7 finance ministers are meeting right now to try and stop the bleeding later today and tomorrow...

I doubt the leaders will do anything at the supposed meeting, remember the meeting is just a show and cover for the news media.


After all the elites let them allow this happen in the first place.

reply to post by Misoir


I'd wait till Asia opens, it will give us an idea as to what to expect. Personally I won't make any prediction because markets have not been acting rationally for a while. I mean we can the worst news in the World and see markets rise Since this has never happened before it's up in the air.. I think it's all overblown, personally. It's one agency that is obviously doing this credit downgrade to !$!@ with the Government for retaliation of their treatment since 2007.

Actually I'm realllly surprised that Congress has not charged the IMF with international credit ratings, and removing the World economy from the standards of independant oversight (it's what I'd do if I where the Gov)

kind happy bout this one myself

just means 2.5 trillion wont be going to fund radical extremist islam.

lot of money goes to funding terrorism.

i'm just glad that I don't have much in my 401(k). I only have a couple hundred in it, so when the bottom drops out I don't really have much to lose.

I'm wondering if Wall St was leaked the downgrade on Thursday since that was the day stocks fell sharply. And since there was a 5% drop off on Thursday and nominal loses on Friday will Wall St take that big of a bath regardless of what the Asian markets do?

it's really hard to say because the market IS so volatile. One good thing i've heard, tho, is that since oil fell to about $86/barrel gas prices could drop up to $0.35/gallon. Of course it will take a month or so to happen, and i'm sure that by then the per barrel price of oil will go back up, thus negating the drop of gas prices.

To the OP, thanks for the heads up and hopefully this thread will make the front page where we can all keep an eye on it.
I am having bad vibes here but nothing we can do but watch and see I guess.
We have a few shares in some employer programe and we are hoping they live but expecting them to tank.
Time will tell I guess, again thanks for the heads up and a S&F to boot.
Regards, Iwinder

reply to post by iNkGeEk


Interesting indeed. If Wall St goes green tomorrow, we'll know that our illustrious PPT is hard at work replacing that lost $2.5T, on top of the $16T we spread out a couple years ago (for foreign govts and banks, to avoid the mess we are looking at right now).

I can hear the talking heads on the financial channels now trying to put a ribbon on this pile of dog@#*&^ and call it a 'financial opportunity'. The ponzi continues.....

And here go the Asian markets!!

We all expect the European markets to drop now just based on what's happening in London right now. Add the downgrade of the US credit, the drop in the Middle East and Asian markets...today is shaping up to be a bad day on Wall St.

reply to post by iNkGeEk


Doubt it will be that bad. ECB has just announced Quantitive Easing 1 for Europe. The ECB will now be buying sovereign debt of insolvent nations. Essentially meaning an unlimited bailout through inflation (sorry Europe, you had to have your international tax at some point) and quarenteeees Europe cannot default. Basically no nation has a debt cap anymore, since someone will always be there to buy the debt. There was a lot of opposition to this by France and Germany who see this as an attack on the Euro its self and rewarding poor behavior but hey.. it was this or the whole thing collapses. This should dampen the effects of the ratings cut.

reply to post by Rockpuck


hmmm...isn't buying another country's debt kind of risky? I mean, if a country A buys country B's debt, won't country A just go out and rack up more debt? And if country B keeps buying debt and spending money on its needs, won't country C have to buy country B's debt at some point, there by inheriting country A's debt? What happens when there isn't a country that can afford to buy another country's debt?

kind of like robbing peter to pay paul, if you ask me.

*man...the beginning of this post made my eyes to cross! *

reply to post by iNkGeEk


Lol, no because in this case there is no country a, or was that b?.. The ECB is not a country it is a financial institution, it has no money except that which it creates.

reply to post by Rockpuck


gotcha.

this is NOT a one line response.