Stock market lower as IMF warns Severe global recession risk

The global stock market mostly lower today as the IMF warned that the world set to face the worst global recession since the great depression. It is a gloomy outlook that could put the stock market on the lower side for a long time.

Traders and investors are waiting for the release of retail sales and core retail sales at 07.30 AM. The numbers forecasted at -4.9% and -8.0% respectively.

Asian & European Stock market

The Asian stock market slightly lower today. Japan’s stock market down 88.72 points (-0.45%) to 19,550.09, China stock market down 16.11 (-0.57%) to 2,811.17 and Australia ASX 200 down 21.40 points (-0.39%) to 5,466.70. The European stock market on the defensive side. DAX Germany down 1.83%, FTSE UK down 1.55%, Euro STOXX 600 down 1.36%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA closed higher yesterday but the bullish sentiment might not continue today as DJIA futures lower 300 points at the current time. We might see the index consolidating inside 22,500 – 24250 range for now. In the long-term, the index direction is bearish which suggests traders to be more careful when looking for long positions in equity.

Mastercard Inc (MA)

MA share prices bullish correction has reached the daily SMA 200 and there was bearish reaction. If the global market start moving lower again then it is the level to watch for possible bearish reversal. Meanwhile, MA might trade between two horizontal lines shown on the chart.