How To Articles

It may be safe to wade back into stocks Tuesday with one note of caution: China is still in deep turmoil.

Global markets are rebounding broadly after investors suffered one of their worst sessions in years on Monday.

U.S. stock futures were rising nearly 3% and Europe climbed, though China stocks extended a horror run.

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1) China tumbles

Stocks in China continued their downward spiral Tuesday, extending a selloff that panicked investors around the world. The Shanghai Composite plunged 7.6%, while the smaller Shenzhen Composite slumped 7.2%.

Uncertainty over the stock market and the Chinese economy has driven sharp selling, and many analysts expect more intervention from the government to bolster growth.

But China's pain was largely contained Tuesday. Of the other major Asian markets, only Japan slumped again with the Nikkei tumbling nearly 4%.

Markets in Korea and Australia -- which is particularly sensitive to worries about Chinese growth -- finished with solid gains. 

2) Oil rebounds

Oil prices also found a firmer footing, putting on 2% to just above $39 a barrel. Demand has been slugged in recent months by oversupply of crude and worries about the outlook for the global economy.

Still, a shadow hangs over commodity markets. Industrial metals were under pressure, signaling concern over big buyer China and the health of the world economy. Copper gave up 3% and nickel tumbled 8% in London trading. 

3) Europe recovers

European markets are climbing in early trading, with Germany's DAX adding 2.6% and the U.K. FTSE index rising 2.4%. Solid second quarter GDP numbers for Germany, and an upbeat reading of business sentiment in Europe's biggest economy, were helping. 

4) Monday market recap

It was dramatic session for U.S. stocks -- beginning with an unprecedented 1,000-point drop for the Dow -- driven by deep fears about China's economic slowdown. The Dow Jones industrial average closed down 3.6%, while the S&P 500 lost nearly 4%, and the Nasdaq gave up 3.8%. All three indexes are now experiencing a correction.

Ask us about our FREE financial advice program: 

Other Top Stories:

Will Twitter's Share Crash?

Technical Analysis Lesson 1 - Introduction

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:   

What is it? Export demand and currency demand are directly linked because foreigners must buy the domestic currency to pay for the nation's exports. Export demand also impacts production and prices at domestic manufacturers.

When? At 6:45pm Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the NZD to rise.

Ask us about our FREE financial advice program: 

Other Top Stories:

Will Twitter's Share Crash?

Technical Analysis Lesson 1 - Introduction

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:   

What is it? Financial confidence is a leading indicator of consumer spending, which accounts for a majority of overall economic activity.

When? At 10:00am Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the USD to rise.

Ask us about our FREE financial advice program: 

Other Top Stories:

Will Twitter's Share Crash?

Technical Analysis Lesson 1 - Introduction

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:   

What is it? It's a leading indicator of economic health - businesses react quickly to market conditions, and changes in their sentiment can be an early signal of future economic activity such as spending, hiring, and investment.

When? At 4:00am Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the EUR to rise.

Ask us about our FREE financial advice program: 

Other Top Stories:

Will Twitter's Share Crash?

Technical Analysis Lesson 1 - Introduction

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:   

1. Wall Street opened sharply lower on Monday with the Dow Jones industrial average losing more than a 1,000 points following a more-than 8 percent drop in Chinese shares and a selloff in oil and other commodities. The Dow has never lost more than 800 points in a day.

2. U.S stocks plunged Monday, with the Dow Jones Industrial Average plummeting more than 1,000 points following a global stock sell-off across European and Asian markets as fears escalated about China’s slowing economy. All three major indexes are on course for one of their worst opens since the financial crisis of 2008.

3. Gold prices rose to a fresh seven-week high on Monday, as heavy losses in global equity markets and the U.S. dollar boosted demand for the yellow metal.

4. As China's stock-market plunge spread to the United States, presidential candidates on Monday laid on blame and pushed their policy ideas from the sidelines, with Republican Donald Trump saying he had warned about U.S. exposure to China.

"I've been talking about China for years. Because China's going bad it's going to bring us down, too, because we're so heavily coupled with China," said real-estate mogul Trump on Fox News. "I'm the one that says you better start un-coupling from China because China's got problems."

5. Apple Inc's (O:AAPL) China business experienced "strong growth" in July and August, Chief Executive Tim Cook told CNBC on Monday. Cook said, in an emailed response to questions about the company's business in China, iPhone activations in China had accelerated over the past few weeks and the App Store in China had the best performance of year for over the past two weeks.

Ask us about our FREE financial advice program: 

Other Top Stories:

Will Twitter's Share Crash?

Technical Analysis Lesson 1 - Introduction

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook: