Asian Stocks Plunge on Credit Concern; Indonesia Halts Trading

Asian Stocks Plunge on Credit Concern; Indonesia Halts Trading

www.bloomberg.com

Asian stocks tumbled, driving the Nikkei 225 Stock Average to its biggest drop since October 1987, on concern the credit crisis will topple more banks and slowing growth will cut demand for the region's exports.

Indonesia halted stock trading after the benchmark index tumbled 10 percent, while Hong Kong's Hang Seng Index fell below 16,000 for the first time in two years.

(visit the link for the full news article)

Indonesia hasn't halted trading in over 8 years, and that halt was the result of a car bombing at the exchange building.

Japan's Nikkei stock exchange has been dropping all morning; as of this writing it is down -952 points or 10.35% on trading close.

Asian and Australian markets across the board have all suffered severe losses during trading on 10/8.

European markets are to open in the next few hours.


The only comment I can come up with right now is....oh my god.

www.bloomberg.com
(visit the link for the full news article)

I've posted this graph in another thread, but I'll put it here again...



It refreshes itself so it will be different by market open tomorrow.

Basically all that was gained after the interest rate cut has been blown out of the water.

And the Australian dollar is also tanking...

business.smh.com.au...

A month ago analysts were saying that the Australian dollar was heading for parity with the US dollar - now it's been absolutely creamed.

We'll see a -1000 points on the DOW this morning... unless the FED cut rates by at least 75 basis points... and even then... I don't think we would end up in the green.

This is not the bottom. This whole thing will last at least another year.

This is just the start IMO it is only going to go down hill at a very fast pace.

I know this sounds wrong but we need a good ole kick in the teeth and the boot is heading our way

I have already withdrawn all of my managed funds yesterday morning, cut my losses, so I can rest easy a little bit.

It's quite scary I'm telling you. Although it's not necessarily the end of the world.

add:
I'm not sure whether this is a long term thing or not. But if it's a long term thing, the world will suffer greatly and not just asia. I have to recommend extreme caution to other members.

[edit on Wed, 8 Oct 08 by Jazzyguy]

Originally posted by Vitchilo
We'll see a -1000 points on the DOW this morning... unless the FED cut rates by at least 75 basis points... and even then... I don't think we would end up in the green.

At this point, I don't believe a rate cut will make a damn bit of difference. The commercial paper proclamation today was "bigger" than a rate cut and it barely caused a blip in trading.

It appears to this humble observer that we've reached a point where the market is going to correct itself however it wants, and nothing the higher-ups do will matter.

Originally posted by Vitchilo
We'll see a -1000 points on the DOW this morning... unless the FED cut rates by at least 75 basis points... and even then... I don't think we would end up in the green.

This is not the bottom. This whole thing will last at least another year.

I fear you are correct. This is just the beginning!

This will go down in history as the Great Depression II

I've been watching this as well for the past hour or so. What is freaking me out however, is the 'This is Only a Test' emergency broadcasts every 10 minutes or so. I'm ALWAYS up this late, and I have never seen these at this time or this many. They are usually testing on Saturday mornings.

WTF is going on?!?!

They really, really have to cut rates, go for it. This is it or it's the end.

They MUST cut rates before it opens today. If they don't it will be hell. Worse... if it doesn't work... it's gonna be even worse... they would have to suspend trading for at least an hour... or maybe like on 911... and close it for the remaining of the day.

EDIT: The CAC 40 futures are already down 5.36%...DAX 30 - 4.66 DJStoxx 50 -5.42%

This is gonna be the ugliest day in history.

[edit on 8-10-2008 by Vitchilo]

reply to post by Vitchilo


They don't have much room left to cut the rates. Even if they cut them to zero, we would probably see nothing more than a dead cat bounce for a day followed by real panic the next day when people realize that the fed just used up their last trick.

I don't see how they can stop this train wreck.

Russian trading just opened.

They made it about 5 minutes before pooping out an 11% drop right out of the gate. Russian trading has been halted.

reply to post by anachryon


Isn't that the 3rd time in a week that trading has been halted in Russia?

Man oh man....my eye is twitching!

reply to post by Karlhungis


I know it's not the first, but this is definitely the FASTEST it's been halted. Literally, it was like 5 minutes after open.

Everyone hang on to your butts tomorrow.

To the average 25 year old single man with no children they just don't get it until it hits them where it hurts. My best friend didn't have anything going on this weekend so I invited him to my home, he brought some beer, the cost of this beer went up by a little over two dollars in ONE DAY!
Now he knows things are getting rough, and he's finally starting to listen to me; the much wiser 36 year old.

I didn't believe the "web bot" doom and gloom, but I believed enough to stock up on food, now I am actually starting to believe it. I started a thread concerning Iceland heading towards bankruptcy. A WHOLE COUNTRY BANKRUPT! Interesting times indeed.

It is said that the NIKKEI will close at -1.100 because even at the close, there were so much sell bids that it takes time for the whole thing to do all those transactions....

So -1.100... over 12%??

EDIT: Russia down 9.41%

[edit on 8-10-2008 by Vitchilo]

What's that line the Smoking Man says in that old X Files movie...

"It's all gone to hell."

Well, someone said it anyway - quite a nice little summary for situations such as these.

Russian news on Wall Street losing $700 billion (hmm, 700 billion, where have I heard that number before...):

en.rian.ru...

But no mention of their markets closing after 5 minutes... That's a quick reflex!

[edit on 8-10-2008 by mattguy404]

If the world's dollar values drop and bottom out, how easy do you think it will be for a small group of people to come into ownership of it all?

One World Government in the making, ladies and gentlemen. Whoever owns the world makes the rules. Get it while it's cheap!!!

This will all come back to haunt whoever is engineering this, though.

Originally posted by Vitchilo
It is said that the NIKKEI will close at -1.100 because even at the close, there were so much sell bids that it takes time for the whole thing to do all those transactions....

So -1.100... over 12%??

EDIT: Russia down 9.41%

[edit on 8-10-2008 by Vitchilo]

NHK (national broadcaster) is reporting a close (nikkei 225) at 9,203 - down 952 on the day.

9.4%.

The dollar fell quite sharply as well - it's under 100¥.

That last bit is pretty startling - thusfar the move has been to keep the US$ as stable as possible. Looks like that one is starting to go as well.



[edit on 8-10-2008 by vox2442]

My cable company is going to hear from me in the AM. I have CNBC trying to sell me something. With news this important and at this point it's important for the entire world what is wrong with them.

As I just said in an earlier post, at this point I don't see what can be done to stop the free fall. All of the govt's involved seem to believe that if they guarantee this or that it will all be OK.

Surely they have to understand at this point in time it is not OK.

I guess we are now going to pay the piper, but sadly no one seems to be willing to tell us what price the piper is demanding.

I also wish I had a crystal ball.

It reminds me of water going into a glass a drop at a time. At some point the glass will spill over. In this case I would like to see the exact moment in the time it all went so wrong.

There's always a pivotal moment or turning point I wonder what this one really was. Was it deregulating the banking system or just plain greed ?