Bloodbath In Equities Slams U.S. Markets

The bloodbath in the equities market in reaction to Wednesday's FOMC announcement resulted in a 300+ point drop in the Dow and the largest two-day sell-off in the stock market this year. The Dow blew through technical supports including the 10-day and 50-day moving averages within minutes of the open.

Data Dump
The flurry of economic data was mixed starting with initial jobless claims, rising by a greater than expected rate to 354K versus estimates of an increase to 340K for the week ended June 15; the June PMI increased to only 52.2 against consensus of a gain to 52.7; and May leading economic indicators improved only 0.1% vs estimates of a 0.2% increase, and down from the 0.6% gain the month prior. Bullish economic data included May existing home sales which soared 5.18M from 4.97M in April, and the June Philly Fed index which improved to 12.5 from -5.2 the month prior, and significantly better than the consensus of -1.0.

Wednesday's sell-off in U.S. stocks spilled into the European session where equities across the continent posted triple-digit losses and their steepest losses in 18 months. Weak manufacturing data from China took its toll on auto and mining companies as well as other large exporters to Asia.

Commodities
Crude oil (NMN: CLQ2) was down $3.30 to $94.94 per barrel. Natural gas (NMN: NGU12) was down $0.08 to $3.90 per 1 million BTU. Silver (CNS: SIU2) was down $2.02 to $19.60 an ounce. Copper (CNS: HGU2) was down $0.10 to $3.05 per pound.

Among energy ETFs, the United States Oil Fund (NAR: USO) was down 3.36% to $33.60 with the United States Natural Gas Fund (NAR: UNG) was down 1.85% to $20.66. Amongst precious-metal funds, the Market Vectors Gold Miners ETF (NAR: XX:GMI) was down 7.51% to $24.53 while SPDR Gold Shares (NAR: GLD) were down 5.44% to $123.49. The iShares Silver Trust (NAR: SLV) was down 7.67% to $19.01.

Here's Where The Markets Stood At The Close

• Dow Jones Industrial Index (DJI:DJIA) was down 353.87 (-2.34%) to 14,758.32
• S&P 500 (SNC: SPX) was down 40.74 (-2.50%) to 1,588.19
• Nasdaq Composite Index (NASDAQ: COMP) was down 78.57 (-2.28%) 3,364.63

• FTSE 100 (UK:UKX) was down 189.31 (-2.98%) to 6,159.51
• DAX (DX:DAX) was down 268.60 (-3.28%) to 7,928.48
• CAC 40 (FR:PX1) was down $140.41 (-3.66%) to 3.698.93
• Nikkei 225 (TYO: JP:100000018) was down 230.64 (-1.74%) to 13.014.58
• Hang Seng Index (HSI: HK:HSI) was down 604.02 (-2.88%) to 20,382.87
• Shanghai China Composite Index (SHA: CN:000001) was down 59.26 (-2.76%) to 2.084.02

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• GME - Microsoft eliminates its restrictions on using and sharing games on its new Xbox One.
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• KGC - Weakness in the gold sector a result of the rising dollar following the FOMC announcement on Wednesday.
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• EBIX - Merger between Ebix and affiliate of Goldman Sachs terminated after US Attorney in Georgia opened an investigation regarding allegations of intentional misconduct.