Strategists at the French bank are expecting a capitulation event next year in the stock market.
Oops. Stocks fell through a key support on Tuesday and it looks like some recent momentum has now petered out. The new line in the sand for the S&P 500 SPX seems to be 3,900. Whether Santa eventually comes or not is still to be determined, with Mr. Claus perhaps postponing a decision until next Tuesday’s CPI release.
But what’s clear is that the U.S. stock market is still in a bear market. And with that in mind, equity strategists at BNP Paribas mined 100 years of crashes to try to determine what’s next. However, 2002 is quite representative of recessionary crashes. That bear market was more than two years in length, with a drawdown of 50%, and a 29 percentage point peak-to-trough move in the VIX VIX . A typical recession bear market is 1.5 years in length, with a median drawdown of 38% and a median peak in the VIX of 40.5.
In a neat bit of analysis, BNP recreated the VIX VIX , which CBOE introduced in 1993, to cover the last 100 years. Usually, volatility peaks at or before the market trough. The market After Tuesday’s slump, U.S. stock futures ES00 NQ00 edged lower. Oil futures CL.1 fell, and the 10-year yield TMUBMUSD10Y was 3.54%.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Ohio couple, both 100 years old and married 79 years, die just hours apartFrances June and William “Hubert” Malicote both were 100 years old when they died last week in Hamilton, Ohio.
Weiterlesen »
Evanston's The Cradle adoption agency set to celebrate 100 years of bringing new families togetherCBS 2's Lauren Victory met one family that now includes a new member thanks to the efforts of The Cradle.
Weiterlesen »
Ukrainians sing 'Carol of the Bells' at Carnegie Hall, 100 years after its U.S. debutA Ukrainian chorus first performed 'Shchedryk' — in English, 'Carol of the Bells' — in the U.S. in 1922. A century later, during another fight for freedom, Ukrainian singers performed the folk song at the site of its North American debut.
Weiterlesen »
Driver survives crash while going 100 MPH in front of Pa. row homeAccording to 6ABC, a driver sustained minor injuries after a high-speed crash in Frankford.
Weiterlesen »