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tv   FBN AM  FOX Business  January 7, 2016 5:00am-6:01am EST

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rn world. esurance. backed by allstate. click or call. >> nicole: breaking news this morning. china's market plunges shutting down trading in 29 minutes. second shutdown this week. worries over china's currency and worsening the economy. good morning, i'm nicole petallides. >> lauren: and i'm lauren simonetti. the shanghai composite down over 7% once again today before trading was halted. that has dragged all asian stock market slightly lower. nikkei down 2%. worst start in new year in two decades. kospi down more than 1%, nicole. >> nicole: u.s. stock market futures getting hit hard.
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dow futures 380 to the downside, 2.2% and s&p futures down 46. >> lauren: other big story is the oil market right now, if you look at the quote, 32.94, so far down in double digits. we are looking at double digits this year. we will have the live reports from beijing, london, chicago. welcome to fbn:am, first look at what's moving in today's markets and what to expect on your day ahead. nicole kidman lets get back to the breaking news. globe market selloff is right now. we will go to tracy yu, good morning, tracy, what's behind the selloff in china?
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>> tracy: good morning to you, ladies, we had a terrible trading day. we only traded for about 15 minutes. 7% triggering the circuit brakier again. fell to 10% daily limit only 35 stocks posted gains today and people were really panicking. according to field market insiders i spoke today, the chinese sec, held an emergency meeting but no concrete policy shifts were announced but they did postpone sales from shareholders. investors continue to sell across the board due to fears of more volatilities. in tokyo japanese shares were under water as well. 2.3% as investors fled to safe
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haven which put the yen in the 1700 level which hurt the exporters. in to the korea they didn't escape either, 1.1%. >> nicole: thaisy yu, we appreciate it. >> lauren: certainly affecting the u.s. markets, more on this we are going to bring in gary b. smith. was it really china that contribute to the steep selloff that we have seen if you look at the nasdaq every day for the past five days? >> gary: i will definite i will say china is definitely the umbrella. you have continuing route in oil. you have the north korean bomb, you have little things filtering in that umbrella. china is clouding everything
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right now. >> nicole: is a lot of it because they did with currency, is that what really kicked this off the devaluing? >> gary: i think the currency devaluation is part of it. that systemic at least from chinas perspective, they want to boost there and the currency is system of that but currency or not but the global slowdown of the economy, you know it's only about china's .1% of our economy as far as exports but you have 31 states here in the u.s. that export more than a billion dollars a year to china. that's the kind of impact any kind of slowdown would have on us. >> lauren: right, china is the world's number two economy. the oil market is falling apart.
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you are stocks just selling in a big way, when does it stop and how does it stop? tbar gar well, you know, that's a good question, we talked a few days ago about being cautious. now it's time to start flipping over. the time for panic is over. my personally i think we're kind of in a bare market. you have to look for places then to start buying, if we are in a bare market i see probably might be 15-20% to the downside that start to get your cash ready about dow 15,000, even dow 14,000, we could drop that low, i hate to say. >> nicole: flipping over and look to start buying in selloffs. what would you be looking at to purchase? >> gary: i think the easiest thing in the a bare market everything gets dragged down. the easiest safest way to buy an etf that tracks one of the
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indices. or you can buy dia the diamond which tracks the dow 30. i think you would be okay on either one of those. >> nicole: s&p 500 or the dow? what about energy at this point, we see oil prices continue to track lower. does it go below 30? when does the selling stop and what does this mean for energy producers? >> gary: well, that's a tough one. i've been trying to dip my toe in energy for almost a year. i think the easiest way to play that is with one of the big energy producers, not with the commodity itself, they kind of protect themselves, i think the easiest way to buy that is start to buy a company like exxon or xom or cop. >> lauren: gary b. smith. thanks for getting up with us
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this morning. >> gary: you bet. >> nicole: we were taking a look at european stocks which have been selling 2-3%. we have michael, the chief market analysts at cmc markets in london joining us by telephone. we see the dax down 3%, michael, what do you make of this selloff and does it continue because it's painful for people who are looking at their 401k's? >> michael: it's a lot of questions that investors are wrestling with right now. back in october when we saw the initial sell ah when the chinese did the first devaluation, i think a lot of the selloff is predicated on the basis, investors aren't convinced that regulators have a handle on what's going on in the economy but the stock market, the circuit breakers that have kicked in they are clearly inadequate, they are too narrow,
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when you have a market that can move 5-7% in a day, a 5-7% circuit breaker it's too small, they need to widen it out or need to communicate better with the markets in general. this morning reevaluation of the wan at a time when sentiments was fragile and in hindsight it's probably a little bit of a mistake and that's what's feeding in the frenzy of selling that we are seeing as we head in 2016, i think we do have some way to go, we could visit the september and october lows and i have to have a look at it. certainly it's filtering in u.s. markets. >> lauren: well, china devalues currency to make products cheaper, to boost their economy and now you have other currencies tumbling as a result of that. how bad does this get? >> michael: potential for
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further devaluation of the wong. if you look at the direction of travel of the chinese currency over the past 5 years, it was to the dollar, china's exports left an awful lot of executiveness, there's certainly potential for further losses but i'm hoping that we don't take out the august and september loads. if we do i think we are really going to have to sit and reevaluate. >> nicole: they are going to be watching key technical levels as far as fundamentals and technicals and what kind of levels are they looking at? >> michael: we are still looking quite a bit away on where we are now. on the dax 300 and ftse 100 just below 900. those are the levels that i'm looking at for indications of a
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rebound. there's no real evidence that i've seen that we've got a base in place, that for me is the real worry. when you try and pick the bottom on a particular market it's like trying to catch a falling knife. the risk is you can catch the blade an not the handle. >> nicole: we really appreciate you being with us on a morning where it's really seeing selling and sounds sounds worried. >> lauren: in reaction to the turmoil in the chinese markets. phil flynn, no one better to ask , phil flynn joining us. i hate to ask you the easy but very difficult to answer, when does the sell end and how low do prices go?
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>> phil: we took out the lowest level since the financial crisis. so to me that's very disturbing about what the oil prices are saying about the global economy. i mean, this isn't about supply anymore. this is about concerns about a total meltdown of the global economy. when i see a move like this that really isn't really justified by the demand side of the equation, when you see this kind of a spike, it does raise concerns that this is a much bigger issue than a supply. it's about a warning sign. >> the 32-dollar range, we still have jitters about china. if you stand there are they really worried in. >> phil: i think they are getting worried. the fears are going up. i think coming into the year
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there was a sense of optimism by traders that, you know, we are going to see markets rebound in the year and there's going to be a possibility, but that optimism is getting wiped away and everybody who snandz front of the oil price, you knowinger i was a very optimistic that we were close to allow, i was assuming that china had stabilized. when you see china start to fall apart and you see the limit moves in the market and you don't know where the bottom is, that raises concern. >> lauren: how many bankruptcies are we going to see for more energy producers? we would like to spin it's great for consumers but when you're in a down economy that just doesn't hold. >> phil: it doesn't hold. i'm -- it's going to be ugly. i wouldn't be surprise to hear 10 bankruptcies chris before the
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end of this month. a lot of shell producers they need capital right now and they need banks that they have confidence that the price of oil is going to stabilize. they are going to be a lot less likely to continue those lines of credit. i expect to see a dramatic drop in u.s. production. >> lauren: thank you for being with us today. good luck today. >> nicole: it's not only oil we have been seeing copper selling off particularly this week. our own charley getting an interesting note from the managing director at zoar capital, the major indices are below averages, which is important. he also says earning's growth is slowing. he says that this has been the
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main driver for the past few years and fahmy says that the economy is slowing, housing, for example, both in the u.s. and globally, so these are some of the factors that the inside guys are watching very closely and one thing that's not on the screen here is that some of the front runner, netflix and amazon, those great performers will fall below. >> lauren: that was a bright spot in the market yesterday. we are going to learn more about the true state of the u.s. economy on friday when the labor department releases the december's job's report. there's a job's report in the chaotic week. 200 farm jobs, that's down from november. if you look at the unemployment rate that's expected to hold steady at 5%. all this coming as a strong dollar intensify it is slowdown on u.s. manufacturers who are now competing with cheap chinese exports.
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they've been hit with a plunge. >> nicole: let's get you caught up in the global market action. let's bring the asian market first. 29 minutes and hit the circuit breakers who some are saying that fueling the fires. they are not set up right. the hang seng down and nikkei 2.3%. >> lauren: bleeding continues in europe. look at the declines, crack and -- cac down more than 3%. >> nicole: dow futures 392. i will continue to watch that level here over the next several hours. we are under pressure. all the major averages down. s&p down 2 and a half percent.
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s&p 48 handles right now. >> lauren: look at commodities. this is the big story today this and china, they are related as well. 33.12 is the quote right now that's down two and a half%. people buying gold. that's your safe haven of $4. >> nicole: you the euro and japanese yen stronger against the dollar. certainly weakness in the uk powbd. that's been a big story in the uk pound and the canadian dollar and the peso also pulling back. >> lauren: yield 2.14% down. >> nicole: help spark a global market selloff. his country is to deploy and u.s. sent nuclear bombers after
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the north tested a nuclear device. white house casting doubt on claim. >> the initial analysis that's been conducted of the events that were reported overnight is not consistent with north korean claims of a successful hydrogen bomb test. there's nothing that's occurred in the last 24 hours that has caused the united states to change assessment of technical capabilities. >> the un security council with a new security meeting to impose sanctions in north korea. >> lauren: here is a look at the headlines in the wall street journal. here is the fist one for you. the restaurant chain got a subpoena in a criminal probe tied to food-born illnesses at a california location and then you have united óscar ceo oscar muñoz received a heart
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transplant. it was preferred treatment and was not a result of setback in recovery. sales down sales, demand for hauling freight, curving purchases and dealer inventories, yeah, they are big. >> nicole: china stock market plunges. they hit the circuit breakers and worries over chinese currency. good morning, i'm nicole petallides. >> lauren: and i'm lauren simonetti. it feels like monday all over again because the shanghai composite down 7% before trading is halted. that has dragged all asian stock markets sharply to the downside. >> nicole: let's take a look. we saw the shanghai down 7% right here at home. dow over 400 points. 396 for dow futures.
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s&p futures down 48, nasdaq futures down 129. all the major averages down roughly two and a half% each. >> lauren: crude oil prices tanking. another 5% to the lowest level since 2003, mid concerns of a global -- a global economic slowdown. >> nicole: oil and also copper, whether he have the latest reports. we have analysis from beijing from london, new york, chicago, we have you covered right here on fbn:am, this is your first look at what's moving in today markets and breaking as and what to expect ahead. >> lauren: shanghai index shutdown after 29 minutes and that ripple effect felt in asia and, of course, around the world. let's go to tracy yu, she's going to sort all this out. tracy is a reporter for chinese television. what is this all about? >> tracy: good morning, ladies, yeah, we had a very terrible
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trading day in asia. shanghai composite more than 7% in more than 26 minutes. fell to 10% tanking limit. only 35 stocks posted gapes and about 2.7 market value was wiped out and according to a few government insiders i spoke to, crsc had emergency meeting today but no concrete policies were announced. postponed to january 18th. hong kong trading continued but investors continued to sell across the board in fears of more volatilities ahead. hang seng down over 3%. in tokyo, japanese stock were under water as well. 2.3% as investors fled to the seaf heaven currency the yen which pushed 117-level which hurt japanese exporters. and over in south korea, kospi
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didn't escape either down about 1.1% led by china shipbuilders. thank you. >> lauren: tracy, thank you so much. >> nicole: let's check out what u.s. stock futures are doing right now. they are pointing very steep losses at the opening bell. we seeing them down close to 400 points. what do investors need to keep in mind today, we are asking gary, president of kapan management. we are looking at the board, gary, it says down 418 for dow jones futures, what do you make of it and what should investors be thinking of it as they are probably feeling pretty nervous? >> gary: look, we have been in the bare markets for many months . unfortunately the chinese government forgot that you're supposed to have free markets and you su press selling that selling comes back viciously and that's what you're seeing and it's affecting things around the
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globe, but the other big problem also is you look around our markets, transport a new yearly lows t markets are forecasting a recession not only in china but here and around the globe and i think we have more time and price to the downside here, i don't know what happens today or tomorrow but i think you're going to see the dow in the 15's and 14's, you to be careful and take a step back. >> lauren: very cautious if you see the levels that low. going back to china for a second, gary. do you believe that chinese regulators are letting how severe their economic slowdown really is? >> gary: that's telling you that they know in everything they've been saying about their economy is not true. just remember two weeks ago said and came out everything was fine, the moves are saying the opposite. that has an effect, and also possible here for currency wars. if they continue to go lower,
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lower it affects other countries around the world in a negative fashion, you know, there's going to be a fightback, that's the one thick we don't want to see, the most important part of the equation is we have not had bare markets in seven years because of central banking intervention, we are just overdue with finally getting with central bank intervention, it's more vicious than the norm, it's much quicker and you have to be careful. >> nicole: not only do we have quantitative easying, we don't have propelling us and we saw rate hike and so big picture now, what should people do, should they sit back? don't sell into the selling, right? >> gary: i would suggest we are going to get some vicious rallies in the next couple of weeks, i'd sell them, we are just going lowing. you are going to hear drum beats
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from feds to bring rates down to zero. unfortunately eventually the market is going to stop listening to what they're doing. markets have to be free. >> lauren: fed says four hikes, traders say two and you say we are going back in another direction. >> gary: there's a better of me starting in a george clooney movie than them raising rates again. >> nicole: we are talking about -- we look at the fundamentals of companies. when you talk about the global economy faltering, when we look at the fundamentals, we look at the dow 30, what are you think ing? get us familiar with some of the sectors. >> gary: let me give you some things in the dow. apple earnings, deacceleration.
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they are negative, they are going south. ibm the same. a lot of that going on. the great part of the cycle has passed and overall earnings for the market are supposed to be flat and that's backing out the energy, which is going to be probably down 50%. so that is just another issue. in order to get markets going you need growth in companies and right now you don't have it and that's because we've had it pretty good with the easy money policy for the last few years. so this is just a point in time that had to occur. it's a normal course of business but unfortunately because of central banks and not letting markets be free and have a bare markets every three or four years, after seven years we are going to be forced down quicker and viciously. >> lauren: they see dow futures down 417 points, they see s&p futures selling off, the nasdaq futures selling off, everything in a big, big way and you get nervous. last year didn't have a good
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year for the markets but we did have certain stocks that outperformed. facebook, amazon, netflix. if you're going to pick a pocket, bright spot for 2016, there has to be one, right, what would that be? >> gary: right now, this can change later, there's no doubt in any mind that the recession resistent areas, food, bench, tobacco, household products and utilities will hold up better than the rest. when the market worries about the economy money flows always goes into this area people still need drugs, they're still going to use windex and smoke cigarettes unfortunately and that usually buffers the stocks in the meantime. that's the place to park the money. wal-mart will hold up better also. keep in mind, i'm saying they're holding up not flying to the
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upside. that's where i would park my money right now. >> nicole: s&p futures lower this morning. president of kaltbaum cap pal. >> lauren: we continue with the bad news this morning because we have a couple of stocks that we are watching. the weak holiday shopping season was apparently the last straw at macy's, the retailer says it's going to cut 4500 jobs, about 3% of the workforce, macy's sales at macy's stores fell about 5% in november and december, it will continue with the previous announced closing of 36 stores, that will happen in this spring. >> nicole: yahoo is about to layoff one thousand workers, that's 10% of the workforce. yahoo could start the layoffs as early as this month. chief executive officer marisa
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myer have been under pressure. the layoff report layoff media business, european operations and platforms technology group. >> lauren: let's get you caught up as you're waking up this morning. it all starts in asia stock there. drastically lower. chinese markets, shanghai down 7% after trading was halted not even a half an hour into the trading day. nikkei down, hang seng down more than 3% and the kospi selling off by more than 1%. >> nicole: the world gets spooked. the cac and dax down. the ftse down nearly 3% and so is the cac down 2.86%. >> lauren: what do you do in the u.s.? you press the sell button. dow jones industrial futures are down 433 points. s&p futures selling off by 53 points, more than two and a half percent and nasdaq down 145
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points. that is a decline of 3 and one quarter percent, nicole. >> nicole: commodities getting hit hard in the story as oil continues to fall off, oil moves to lowest levels since 2003. right now 32.95. that's down 3%. copper has been done about 3%. gold the safe haven is up again. it's at four bucks. >> lauren: let's show you the currency board, you can see the yen and euro showing strength versus the dollar this morning. >> nicole: today 2.14%. money is going in to the u.s. treasury because that is a safe spot for the cash. >> lauren: coming up in the show, trading halted, a live report from beijing coming up. plunging oil prices wrecking
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havoc in the stock market. we will have a report on how oil prices are setting up today. checking u.s. stock market futures for you, big declines, dow futures tanking 437 points right now. s&p down 53, nasdaq down 147. keep it right here. you're watching fbn:am, first look at morning markets and breaking news on a very busy and scary day with lots of people with 401k's.
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>> lauren: you are waking off to a global market selloff. let's get you caught up. it all started in asian market. nikkei down 2.3%. hang seng down 3% and kospi down more than 1%. >> nicole: as shanghai composite hits the breakers, you see the ftse down 2.8% much like the cac and dax is down 3 and a quarter percent. all red arrows, folks. >> lauren: right here in the u.s. more arrows forture. dow jones industrial average 421 points and nasdaq selling off by 144 points in the premarket. >> nicole: they are punning to
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the lowest levels since 2003 in reaction to china's market. no one knows more about oil than phil flynn. what can we expect now? when we see oil in 32-dollar range, that certainly gives everybody the jitters. >> phil: it does. people are really concerned about the global economy. we know about the supply story. we know that sploi hit a record high yesterday. we know that what was going on in this part of the world, you knowinger about the shell revolution, but really this is about fear today. that's what i'm seeing in the oil market. >> nicole: now what? >> phil: this is the thing, we are looking for stability. because china put circuit breakers something, it's got to sell. they'll sell anything just because they can't se china that
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really gets more selling, that turns into confidence, so even good companies and good places get soldoff hard just because they're getting caught up in the mes and that sometimes becomes unless we see stability in the market. >> lauren: does oil go below $30 a barrel? >> phil: unless we see intervention we have a chance that within the any -- within the next day or so. it's possible that oil could rebound but we are going to have to meet intervention because right now the fear is going to keep going until something stops it. >> nicole: when you look at all of the commodities we have to mention copper too. why is china really doing this? why are they devaluing the yuwon. the big picture that the economy
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is slowing down and that's hitting ot only oil and copper. >> phil: they thought they had stabilized the market by cracking down on short selling and institutions, they thought they cold get away by devaluating the currency and people would forget about it. they are making some major missteps when it comes to the economy and you can tell that it's having not only in their economy but across the globe. >> nicole: right now dow is down 405 points for dow futures. we are seeing a selloff underway. >> lauren: we want to keep you up to date on the wild weather, if you didn't have enough news this morning. san francisco pelting rain, gusty winds, the down trees also
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causing problems with the power lines. waterfalls of mud came pouring downhill and on to the roadways, clogging drainpipes an causing flooding. if all that wasn't enough for you, tornado and roof is on the ground. >> nicole: stunning shutdown of china's market. we will have a live report for you from beijing, we will tell you what this means to u.s. investors. this morning we are going to see the dow open at 9:30, what can we expect for now. wall street will be another bumpy ride today as we are seeing the warning signs, dow futures right now down over 400 points. s&p futures down 50 points and the nasdaq with down arrows. you are watching fbn:am, your first look at morning markets and breaking news.
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>> nicole: breaking news this morning. china stock markets plunges shutting down trading in just 29 minutes marking the second shutdown this week. the currency there and worsening economy sparking a global selloff. that's what we are seeing this morning, folks. good morning, i'm nicole petallides. >> lauren: good morning as well i'm lauren simonetti. traders would have went home before 10:00 o'clock in the morning. it was the shortest day in chinese stock market history. that market down 7%. nikkei down 2.3%. hang seng 3% and kospi down more than 1%. >> nicole: what's going to happen to your money right here at home. u.s. stock market futures we are
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seeing all down arrows. 402 points. two and a half percent. just like s&p 2 and a half percent and nasdaq 139. 3.1% to the downside. >> lauren: another big story that started shaping over night. tanking once again to the levels we have not seen since 2003, $32.95 a barrel. decline of 3% right now. there are concerns of this global slowdown as it starts in china. >> nicole: we will have live report and analysis from beijing from london, from new york, from chicago, right here in fbn:am, we have you covered. first look at what's moving in today's markets and the latest breaking news and what to expect on your day ahead. >> lauren: trading there so bad that the shanghai index was shut down after not even a half an hour. if that happened here like i said, the new new york stock
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exchange traders
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>> nicole: bring it home, jeff. we are watching middle east and north africa, north korea, bring it home. when we are watching the dow and s&p are you looking at specific levels that tell you something that we should watch? >> jeff: if dow jones industrials also takes out its august low and that's around 15,666 that will be a dow theory sale signal and will not look pretty in the charts. >> nicole: okay 15,666, is that what you said? >> jeff: that's right. >> nicole: thank you very much for breaking this down for us. jeff we have you bet. >> lauren: european markets where stocks look sharply lower.
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and are continuing to trade sharply lower. the ftse down 2.7%. the dax really getting the worse of this sell off it's down 3 and a quarter percent. we have market analyst at ig group joining us on the phone, good morning, chris. >> good morning. >> lauren: what use your reaction this morning? >> no sign stopping at the moment. not just in stock market but in oil as well. it's quite something really. >> nicole: you look at the selloff in we are seeing 2-3% in major averages and you're talking to market analysts at ig groups, you're talking to clients, you're talking to institutional traders, what do they make of this and how do they play this? our last guest that this type of stampede sells for 125 sessions, do you expect that to continue?
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>> it does that sellers are in control. for the ftse in august and september ballooninger -- longer term. it's really hard to see. that could be a key for china-inspired selling, really. >> lauren: do you agree with that? >> i think it's really distance from china. it still looks to be the best if you look of the slightly bad bunch. >> nicole: if you're going to invest you need to pick food, beverage, tobacco, utilities, what do you think people should do with their money now? >> i think it is. utilities in london have not done too bad in the last days.
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>> nicole: right. >> lauren: chris, thank you analysts at ig group. >> nicole: managing director, all the major indexes are below average, which is important because it's an area of institutional support. earnings group is down and says this has been the main driver behind the market for years. some of those favorites of 2015 have sold off. netflix, amazon, facebook and that's also a tell-tell sign. let's get you caught up in the global action. we will have the opening bell in three and a half hours. we are seeing that asia stocks down 7%. the circuit breakers kicked in.
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some saying that the circuit breakers not set up right. >> lauren: shortest day in chinese history on their wall street. in europe more red arrows for you. the ftse down 158, cac down 114, dax 324 points. >> nicole: with energy materials leading to the downside, dow futures right now 406 points lower, s&p futures 50 points, nasdaq 143, that's 3.2%. >> lauren: this is how the u.s. dollar is trading against key currencies strength in euro and the safe haven japanese yen responding to everything going on with the china devaluation of their currency. >> nicole: we just heard analyst talk about the safe haven of treasury yields. that's where the money is going. >> lauren: china and oil and they do go together. that of course, in reaction to the china selloff and the
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slowing economy. phil flynn, fox business contributor joining us with the latest. phil, great to see you this morning. when traders come in to the pits behind you, what are they doing to do today? >> phil: they are going to wish they didn't get out of bed, i think. if they look at the prices before they come in they're not going to get out of bed. there is a little bit of dead-cat bounce this morning. who knows if that can hold off but maybe it's a sign that some of the selling could be slowing just a little bit. >> lauren: hope for intervention as you mentioned earlier. hopes that somebody is going to step in and help this market. >> phil: well, we are, we are on a speech later today of gordon brown from british. he sees risk all over the place. the imf is saying global economy is slowing.
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it's obviously that bankers are paying attention to what's going to happen. obviously when you see a selloff like this and it's not just one, it's two in a week t central bankers are going to have to take notice and there's a strong possibility if we don't see some action we are going to definitely see some hard talk. >> nicole: if we see the bounce, a little bit of bounce off the lows of 2003 lows, but then you're talking about volatility, right? >> phil: we are talking about volatility. the mixed futures overnight mix future spiked overnight. at what point do you balance technical levels versus fears? a lot of times when fear takes over they overshoot on prices. >> nicole: one of our analysts, we quoted him and talked about
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and said maybe that's the part of it, maybe you need to see more fear and then we will have that situation? >> phil: i agree. if we see a big spike in the number -- if you remember when china stock market crashed back in july, we saw one of the biggest price in index in history. that was a signal that the bottom was in and we actually saw prices start to recover from that level. if we see that same type of spike, i will be taking some profits. >> lauren: phil flynn, thanks so much. you don't sell two selloff in one week like that and we certainly did. >> nicole: people want that but i don't know that we are necessarily there yet. coming down we will run the global action before we hand it over the mornings with maria. we are seeing selling underway. nasdaq futures down 139. global selloff, folks. we have you covered at fbn:am, stay with us.
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♪red roses too ♪i see them bloom ♪for me and you ♪and i think to myself ♪what a wonderful world ♪music ♪the colors of the rainbow
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♪so pretty in the sky ♪are also on the faces ♪of people going by ♪i see friends shakin hands ♪saying how do you do? ♪they're really saying ♪i love you ♪i hear babies cry ♪i watch them grow ♪they'll learn much more ♪than i'll ever know ♪and i think to myself ♪what a wonderful world ♪music ♪oh yeah
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>> nicole: global market sell off is underway. hits the circuit breakers closing out at 7%. nikkei down 2.3%. hang seng 3%. that transfers over the europe. dax down 3% today. the ftse and cac also down nearly 3% each. right here at home dow futures down 400 points as we continue the selling, begin selling, energy, materials have led to the downside. dow futures 393 to the downside and s&p futures down 48. we are seeing selling in equities, commodities, we are seeing the oil numbers right now, 33.18, lows since 2003. copper down as well. now taking you to the next several hours dagen mcdowell mornings with maria begin right now. good morning to you dagen on a busy selling day.
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>> dagen: butty, indeed. we have news with markets selling around the globe. i'm dagen mcdowell. we are very lucky to have the three fine gentlemen rosecliff capital mike murphy and michael block. they can tell you anything you need to know about the wild markets. china triggering selloff. can you imagine if that happened in the united states? it means this the market would close for the day at 10:00 a.m. eastern time. 7% selloff in shanghai. they are trying to juice the economy. the ripple effect felt if in other markets. nikkei more than 2%. hang seng and hong kong sliding
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3%. you can see. the major averages there. worse day since september. losses across the board. dax and germany more than 3%. and we are expecting significant weakness here in the united states. the dow down 400 points. nasdaq all showing declines. markets off to their worst start of 2008, dow is already lost in three trading days more than 500 points, percentage points in nasdaq and dow and s&p which were weak last year. oil under selling pressure again this morning. crude drop to go a 12-year low overnight, right around $33 a barrel right now but we are watching the critical 30-dollar mark. could you see that happen today? we will be following all the market action and what it means to your money but right


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