{"id":185260,"date":"2015-09-23T12:46:26","date_gmt":"2015-09-23T12:46:26","guid":{"rendered":"http:\/\/rinf.com\/alt-news\/?p=185260"},"modified":"2015-09-23T12:46:26","modified_gmt":"2015-09-23T12:46:26","slug":"stock-markets-cusp-another-crash-warn-financial-analysts","status":"publish","type":"post","link":"http:\/\/rinf.com\/alt-news\/money\/stock-markets-cusp-another-crash-warn-financial-analysts\/","title":{"rendered":"Stock markets on cusp of \u2018another crash\u2019 warn financial analysts"},"content":{"rendered":"<p>Financial analysts have warned of another \u2018crash\u2019 in global markets after the FTSE 100 fell 120 points in just two hours of trading on Tuesday, its biggest slump since Chinese stock markets plummeted on \u2018Black Monday\u2019 last month.<\/p>\n<div>\n<p>IG Market Analyst Joshua Mahony asked whether the world was on the cusp of \u201c<em>a major selloff<\/em>\u201d as the US Federal Reserve and Bank of England (BoE) consider raising interest rates.<\/p>\n<p>Mahony said artificially-low interest rates held by the Fed and BoE had acted like \u201c<em>steroids<\/em>\u201d and brought the markets to \u201c<em>heights previously unseen<\/em>.\u201d<\/p>\n<p>The stark warning comes as commodity prices on the FTSE 100 slumped in recent days, with mining, oil and copper prices falling sharply.<\/p>\n<p>\u201c<em>With the FTSE 100 tumbling over 120 points in two hours [Tuesday] morning, it is becoming clear that there is a distinct possibility of yet another crash in financial markets<\/em>,\u201d Mahony said.<\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/rmFuDMQqLls\" width=\"640\" height=\"360\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\">\u201c<em>The steroids of monetary policy may have brought us to heights previously unseen in global markets, yet as the Fed and BoE begin wean us off this artificial high, we are coming to find ourselves perilously exposed to another major selloff<\/em>.\u201d<\/p>\n<p>Analysts continue to express concerns about market stability after the Shanghai index fell 8.5 percent on \u2018Black Monday\u2019 in August, its biggest drop since 2007.<\/p>\n<p>China\u2019s surprise devaluation of its currency in early August was blamed for the fall, along with slowing economic growth and investor fears that the stock market had peaked.<\/p>\n<p>Nearly \u00a344 billion (US$67.3 billion) was wiped of leading FTSE 100 companies on Tuesday, with mining stocks being the biggest casualties.<\/p>\n<p>This was due to oil prices falling sharply by 2.5 percent and copper hitting a two-week low.<\/p>\n<p>Mining firm Glencore\u2019s stocks fell to a new intraday low of 99.59 percent after the company cut dividends recently, prompting a loss of confidence among investors.<\/p>\n<p><iframe loading=\"lazy\" width=\"640\" height=\"360\" src=\"https:\/\/www.youtube.com\/embed\/cV6Nmv1fROU\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<p>Anglo American plc and Antofagasta \u2014 both mining companies \u2014 saw losses of more than 6 percent.<\/p>\n<p>This slump in commodity prices combined with plummeting Volkswagen shares as the emissions scandal continues to unravel prompted a bleak outlook from Mahony.<\/p>\n<p>\u201c<em>With the [Federal Open Market Committee] meeting and Greek elections both resolving in a positive manner for financial markets and global stability, it would make sense that we saw some form of relief rally in response<\/em>,\u201d he said.<\/p>\n<p>\u201c<em>However, the weakness seen since Thursday\u2019s Federal Reserve decision [to hold interest rates] is highlighting a high possibility that we are due to embark on yet another major selloff in global indices.<\/em>\u201d<\/p>\n<p>This piece was reprinted by <a href=\"http:\/\/rinf.com\">RINF Alternative News<\/a> with permission or license.<\/p>\n<p><\/iframe><\/p>\n<p>Via\u00a0<a href=\"http:\/\/www.rt.com\/uk\/316285-financial-crash-markets-warning\/?utm_source=rss&amp;utm_medium=rss&amp;utm_campaign=RSS\">RT<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Financial analysts have warned of another \u2018crash\u2019 in global markets after the FTSE 100 fell 120 points in just two hours of trading on Tuesday, its biggest slump since Chinese stock markets plummeted on \u2018Black Monday\u2019 last month. IG Market Analyst Joshua Mahony asked whether the world was on the cusp of \u201ca major selloff\u201d [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":185261,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[52],"tags":[],"class_list":{"0":"post-185260","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-money"},"_links":{"self":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/185260","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/comments?post=185260"}],"version-history":[{"count":0,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/185260\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/media\/185261"}],"wp:attachment":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/media?parent=185260"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/categories?post=185260"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/tags?post=185260"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}