Markets look to drive the snakes out of the trading pits

US equity future markets are selling off in early Tuesday trading as global indices calmed a bit.

The Dow futures showed a limit-up 800 point rise overnight, but are now falling to a modest opening after Monday’s historic 3,000 point cratering.

At this time I want to give you some thoughts on this massive stock selloff. This is a macro market look and not any specific financial advice.

The trillions of dollars that have been pulled out of the market this month will have to be deployed in the medium term. It cannot be left on the sidelines for that long given the meager returns cash can generate.

Picking the appropriate time to re-invest your assets is a fool’s game. As we move forward with the Covid-19 pandemic and more important information comes to light, the scope of economic damage may not be as dire as the selloff would indicate.

Will we get to 29,000 on the Dow? Probably not this year, however I believe we are close to a floor on equities with a 30% loss from the highs.

I’ll come back later today as markets take a direction.