Show Entire Article
A selling wave in global stock markets is sweeping futures lower this morning as subprime and credit woes once more rise to the surface. A new disclosure about a third troubled hedge fund at Bear Stearns is rattling investors.
European stock markets are all lower, down more than 1% or more. Asian stock markets fell sharply overnight with Japan's Nikkei 225 Average [ NIKKEI 
+ (+0.00%) ] down 2.2%; South Korea lost 4% and Hong Kong lost 3%. Australia closed 3.3% lower, its biggest one-day drop in six years. Macquarie Bank led the decline in that market after warning that it faces big losses in two funds because of U.S. subprime losses.
U.S. stock futures have come off their lowest levels of the morning as the market moves closer to the open, but there's fear around the edges and financial stocks are once more being eyed suspiciously. Reuters says comments by Treasury Secretary Hank Paulson this morning that the subprime fallout is mostly contained soothed the market, but we could see nothing new in those comments.
Another flight-to-quality buying spree in Treasuries yesterday pushed the yield on the 10-year to 4.771% and the buying continues this morning. The yield on the 10-year was 4.74%.
Today's data includes ADP's employment report for July -- with payrolls up by just 48,000, much lower than expected -- ISM manufacturing data and pending home sales.
Page 1 of 6 | Next PageShow Entire Article
More Top Stories