Dow futures fall maximum amount allowed, poised to plunge 1,300 points at the open as oil prices deliver a punishing blow to Wall Street

GO TO THE BANK RIGHT NOW AND GT ENOUGH CASH TO HOLD YOU FOR A FEW WEEKS BEFORE THEY STOP REFILLING THE ATM MACHINES TEMPORARILY! This week, according to the key Hedge Fund  and Futures Specialists is going to be a roller coaster ride – the first hill it climbs then comes barreling down the rails to the first 90-degree banking turn!! Pun intended.. have fun Boys and Girls your 401Ks are about to be decimated!

Published: March 9, 2020 at 8:22 a.m. ET
By William Watts and Mark DeCambre

Stock-index futures hit daily limit with 5% fall

U.S. stock-index futures were down sharply Monday, falling to their daily limit, as fears of an oil price war between OPEC and Russia sent crude futures plunging, sending shock waves through global financial markets already shaken by the spread of COVID-19.

Analysts seeking safety fled into government bonds, sending the yield on the benchmark 10-year U.S. Treasury plummeting 25.1 basis points to 0.462% — another all-time low. Yields and debt prices move in opposite directions.

What are major indexes doing?

Dow Jones Industrial Average futures US:YM00 were down 1,255 points, or 4.9%, at 24,534, while S&P 500 futures US:ES00 were off 145.10 points, or 4.9%, at 2,819. Nasdaq Composite futures US:NQ00 were off 410 points, or 4.8%, at 8,093.25. Futures fell their 5% limit in early Asian trade and have traded near there for most of the session.

Stocks could see steeper losses when cash trading opens Monday. Initial circuit breakers kick in to temporarily halt trading with a fall of 7%.

Read:Here’s when S&P 500 circuit breakers kick in on Monday

On Friday, the Dow Jones Industrial Average US:DJIA settled 256.50 points lower, or 1%, to 25,864.78, while the S&P 500 US:SPX lost 51.57 points, or 1.7%, to close at 2,972.37. The Nasdaq Composite US:COMP finished 162.98 points lower, or 1.9%, at 8,575.62.

What’s driving the market?

“The slide in the oil price, along with further outbreaks of coronavirus across Europe, and the Italian government imposing a lock down across northern Italy and in around the Milan region, has accelerated the rush for the exits in stock markets sending U.S. bond yields to new record lows,” said Michael Hewson, chief market analyst at CMC Markets UK, in a note.

West Texas Intermediate crude for April delivery US:CLJ20 was down 21% at $32.38 after trading below $29 in earlier action, while May Brent crude UK:BRNK20, the global benchmark, 20.5% to $35.97 a barrel.

Oil futures plunged 10% on Friday after talks between the Organization of the Petroleum Exporting Countries and their allies collapsed with Russia refusing to agree to a Saudi-led plan for additional crude production cuts. In response, Saudi Arabia over the weekend slashed crude prices and is preparing to increase production, in a direct attack against Russia’s market share, The Wall Street Journal reported

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