China growth fears slam U.S. stock futures; Dow futures slump 430 points
Just when you thought it was safe to listen to the stability-preaching talking heads,crude futures are sliding and US equity futures are tumbling. Stock futures slumped Tuesday after another set of weak Chinese economic data roiled global financial markets.
Worse still XIV (VIX inverse ETF) has tumbled to fresh lows with a 24 handle in the after-hours market, suggesting more downside for stocks.
US & China Stocks Are Plunging After PMI Hits 6.5-Year Low, PBOC Strengthens Yuan Most Since Nov 2014
Futures for the Dow Jones Industrial Average YMU5, -2.25% skidded 430 points, while those for the S&P 500 index dropped 50 points. Futures for the Nasdaq 100 index lost 110 points.
The losses build on another downbeat day on Monday, when Dow Jones Industrial Average ended August with the steepest monthly loss in more than five years. The S&P 500 and the Nasdaq Composite recorded the largest monthly declines since May 2012, weighed down by continued worries over slowing growth in China and uncertainty over the timing of the Federal Reserve's first interest-rate hike.
On Tuesday, fears over China again took a toll on stock markets after the country's official manufacturing purchasing managers' index fell to a three-year low. The factory reading pushed stocks lower across Asia as well as in Europe.