???? Stock Market Panic: Dow Drops 1,000 Points!

Hala,

?? A Maryland woman saw a scratch-off ticket sitting unsold all weekend and finally bought it on Monday. Her reward? A whopping $50,000 win!(1) She said, "It was still there, no one had bought it." Talk about patience paying off! ???????

amana's take

• Crypto Markets Recover Despite Cautious Sentiment

Bitcoin and Ether rebounded from steep losses on Tuesday, with Bitcoin rising above $56,000 and Ether increasing by 4.6% to over $2,500. This recovery followed a significant selloff on Monday, with Bitcoin dropping below $50,000 and Ether seeing its steepest fall since 2021. The selloff coincided with the introduction of spot-Bitcoin and Ether ETFs in the US. Ether ETFs saw a net inflow of $49 million, while Bitcoin ETFs experienced a $168 million net outflow. Total crypto liquidations reached $1.1 billion on Monday. Some traders remain optimistic, predicting Bitcoin could quickly rebound to $70,000 despite cautious sentiment.

• RBA Holds Rates Steady, Signals High Rates May Persist

The Reserve Bank of Australia (RBA) kept the Official Cash Rate unchanged at 4.35% during their August policy meeting, indicating that high interest rates may persist. The board considered a rate rise but decided against it, emphasizing their commitment to reducing inflation, which remains above target. A near-term rate cut is not anticipated, and market pricing for cuts in the next six months is deemed premature. The RBA slightly adjusted its forecasts, anticipating slower reductions in core inflation, modest GDP growth, and a gradual easing of the labor market.

Stock Market Update

??↘? U.S. stocks crashed on Monday, with the Dow hitting a two-year low as recession fears sparked a global sell-off. The Dow tumbled 2.6% to 38,703.27, the Nasdaq 100 shed 2.96% to 17,895.15, and the S&P 500 slid 3% to 5,186.33.(2) We’ll tell you all about it below! ????

???? Similarly, Mideast stocks nosedived on U.S. recession fears and regional unrest. Dubai fell 4.5% to 4,046, while Abu Dhabi retreated 3.4% to 8,975.(3) ????

???? Global Market Sell-Off: Dow Tumbles 1,000 Points

Markets plunged on Monday, with the Dow Jones dropping 1,033.99 points (2.6%) to close at 38,703.27, and the S&P 500 experiencing its worst day since September 2022.(4) Concerns over a U.S. recession following disappointing July jobs data and the Fed's decision to keep rates high triggered a massive sell-off. Investors are hitting the panic button faster than you can say "recession." ????

U.S. Market Highlights:

• Dow Jones : Fell 1,033.99 points (2.6%) to 38,703.27 ??
• S&P 500: Dropped 3% to 5,186.33, the biggest loss since September 2022. ??
• Nasdaq Composite: Lost 3.43%, closing at 16,200.08 ??
• Tech Stocks: Nvidia down 6.4%, Apple down 4.8% after Buffett's stake reduction, Tesla down 4.2% ??
• Treasury Yields: Benchmark 10-year note yielded 3.78% ??
• Cryptocurrencies: Bitcoin fell from $62,000 to around $54,000 ??

???? Global Market Impact Japan's

Japan’s Nikkei 225 saw a historic drop of 12.4%, its worst since 1987’s Black Monday crash, closing at 31,458.42, while the Topix tumbled 12.23%. South Korea’s Kospi fell 8.77%, triggering circuit breakers.(5) Weak U.S. job data and recession fears drove investors to safer assets. Meanwhile, Europe’s Stoxx 600 closed 2.17% lower, with all sectors in the red.(6)The FTSE 100 dropped 2.04%, and the FTSE MIB fell 2.27%. The VIX, Wall Street’s “fear gauge,” spiked over 100% to 64.06 before settling at 35. The downturn stemmed from U.S. recession fears, the Bank of Japan's hawkish stance, and tech sector re-rating. Seems like Europe is catching the financial flu from across the pond! ????

?

Closer to Home?

• ??? Oil giant Saudi Aramco's Q2 2024 net profit dipped 3% YoY to $29.1B due to lower crude sales and weak margins. Still, they declared $31.1B in dividends.(7) Aramco sure knows how to make it rain! ??
• ?? Abu Dhabi’s Presight AI platform reported stellar H1 2024 results, with revenue up 17.4% YoY to AED 603.5M, doubling last year's growth, thanks to multi-year contracts and a positive deployment mix.(8) That’s AI-mazing, Presight ! ??
• ?? Dubai's villa and apartment sales hit a "record-breaking month" in July, with deals surging 57% YoY to AED 55.5B ($15.1B) from over 17,000 transactions.(9) Dubai's real estate market is on a roll! ??

What Else Is Trending

• ?? Cryptos tumbled on Monday amid the global sell-off. Bitcoin shed 8% to $53,996.70, briefly hitting $49,111.10, its lowest since Feb 13. Just a week ago, it peaked at $69,982.(10) What a wild ride! ??
• ??? Oil prices also felt the heat from recession fears and dropped to a six-month low on Monday. Brent slid 0.66% to $76.30 per barrel, while WTI fell 0.79% to $72.94.(11) ?
• ?? Lastly, gold prices tumbled 1% largely for the same reasons. After dipping 3.2%, spot gold recovered slightly, trading 1.6% lower, gleaming at $2,404.53 an ounce.(12) ?

??Quote of the Day

"The market was whistling past the graveyard. I think people were basically lulled into a sense of security, yet the market itself was very vulnerable to a correction — and the weaker than expected economic and employment data provided that catalyst for correction." — Sam Stovall, chief investment strategist at CFRA Research

?

amana.app

Get the amana app.

Sources:-(1) UPI, (2) (4) (5) (6) (10) (11) CNBC, (3) (12) Reuters, (7) (8) (9) Zawya