Much wailing and woe on the US markets. After their Presidents Day holiday they came back and sold off.  Even the signing of the stimulus package did not stimulate the market.  The DJIA is now down 16.1% YTD and the S&P500 down 14.7% YTD.  After being down 35.8% and 40.6% respectively last year there is a lot of sole searching going on.  

The DJIA has broken through the November lows and the S&P is not far behind.  The FTSE is within 100 points of the November lows and will probably test that point during the week. The November intraday low for FTSE futures was 3703 so we will have to see how that holds up. 

We have yet to see the outcome of the car makers’ pleas to the government. Then what about all the others with their hand out? 

How much the European banks troubles will affect the UK and US is yet to be seen.  The S&P at 600 by October, maybe less?

The UK market today started positively, but after 2.5 hours open is heading for the zero gain.  It has been a pattern of late that the UK market opens up, then looses those gains as the day wears on. The bulls are trying to put some energy into the market, but for every rally there are more sellers in the wings.