January 6th, 2016 12:27 PM
The market is off to a bad start for January. On Monday, China’s new circuit breakers shut down their market due to massive selloff which fueled a global stock selloff. That night, China’s central bank injected almost $20 billion (in U.S. dollars_ into their market to in order to prop up their market selloff.
Most of the Asian markets opened lower due to concerns over China and a possible Hydrogen Bomb test from the North Koreans. Kim Jong Un tested the weapon in the north-east section of the country but has not provided any proof it actually was a Hydrogen Bomb. Either way it was enough to scare off many investors in an already shaky financial region.
Crude Oil has hit a new low today at $33.93 Per Barrel (as of 12:03 Mountain Time), and continues to bring down the market. Brent Crude hit a new 11-year low and has been in an 18-month downtrend so far.
In the middle east, fighting continues throughout Syria and Iraq while tensions are flaring between Saudi Arabia and Iran. Other countries are choosing sides due to the execution of the Iranian Cleric Nimr al-Nimr and 46 others. This situation is still in its early stages and we have yet to see how, and if this event is going to have an effect on the growing world oil supply.
Stay tuned to RonCaskey.com for more news!