It appears the FANTAsy stocks (Facebook, Amazon, Netflix, Tesla, and Alphabet) are suffering this morning as investors choose not to rush to the safety of triple-digit P/E ratios amid the market's collapse. Tesla is tumbling on burning-car concerns and Netflix is dropping after another downgrade. The rest are all ugly as it seems faith in FANTAsy is failing...
Tesla's current pre-mkt price $230 is below its 200-DMA ($236.81).
Submitted by Jim Quinn via The Burning Platform blog,
Late in 2015, Germany's Handelsblatt reported, erroneously, that Venezuela was the best performing asset class of 2015.
It wasn't. The reason this was in error is because if one adjusts the returns into the real currency exchange rate, one which reflects the true implosion of the economy, instead of the government "mandated" one, the result is very different, one which shows that contrary to popular wisdom, during hyperinflation stocks are not a good store of value.
Overnight weakness in global stock markets has prompted safety bids in Treasuries and precious metals but the last few minutes has seen a heavy volume spike in both gold and silver (above $1075 and $14 respectively)...
$1088 is perhaps the next target (50DMA) for gold and $14.46 (50DMA) for Silver.
Nations allied to Saudi Arabia have joined diplomatic action against Iran, amid a row over the Saudi execution of Shia Muslim cleric Nimr al-Nimr. Bahrain and Sudan have both followed Saudi Arabia and cut diplomatic relations with Iran. Bahrain has demanded that Iranian diplomats leave the country within 48 hours. The UAE has downgraded its diplomatic team and announced it is planning to cut the number of Iranian diplomats it allows to be in the country. The BBC reports: Saudi Arabia on Sunday gave Iranian diplomats two days to leave after an attack on its embassy in Tehran.