Deja vu time folks. Greece. With the bond swap deal supposed to take place this week, investors are waiting to see the outcome of the deal. Markets are also coming off the massive liquidity high of last week’s LTRO out of the ECB. All in all, it is making for an interesting market day. Dow futures are currently down 86 points to 12,875. Nasdaq 100 futures are off 19 points to 2,597. The S&P 500 futures are rounding out the losses pre-market, down 10.50 points to 1,354.
Investors are worried that any future liquidity injections will require an external event, and a rather bad one. That has nervousness creeping back into the market as they look to see what domino could possibly fall next.
China’s growth cut is not helping matters, and is giving rise to the fears that another downturn could be on the horizon. [Read more...]