$SNAP Just Snapped, Global Market Volatility Increases, EU Doomed?

Snap Inc. (NYSE: SNAP) stock price fell Monday, March 6, 2017 (see chart above), erasing all of its post-IPO gains and fell back beneath $24.00, the price that it opened at last Thursday.

UPDATE March 7, 2017: $SNAP Closes Down 24% Since Monday's Open:

Markets Fall as Volatility Increases Across the Globe | moneymorning.com: "SNAP stock fell more than 12% after an advocacy group representing large institutional investors approached several stock market index providers. The advocacy group asked to bar companies that fail to provide voting rights to shareholders on the open market from their stock benchmarks."

What else is bothering markets? Geopolitical risks from Washington, D.C. to the EU to China to North Korea. Here are two views of the building crisis in the European Union (EU):

Farage: The EU is dying before our very eyes

Video above published Mar 6, 2017, by FoxBusiness.com: Nigel Farage, former UK Independence Party leader, on what to expect from President Trump's meeting with German Chancellor Angela Merkel and the state of play in the upcoming elections in the Netherlands and France.

The European Union is facing a threat to its very existence

Video above published Mar 6, 2017, by The Economist | Economist.com: The Treaty of Rome was signed 60 years ago this month. But can European leaders make the EU appealing to a new generation of more sceptical voters?

In addition, the Fed's FOMC appears set for an interest rate increase at its next meeting March 14-15, and some Wall Street investors are in addict-like withdrawal from 8+ years of ZIRP.

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Carl Icahn, Danger Ahead, Financial Warning, Video

(source: cnbc.com and carlicahn.com)

Above: Billionaire investor Carl Icahn's new video: "Danger Ahead" in which he warns of the results of interest rates that have been kept too low for too long, saying stocks could go down "a lot more" as the market comes to grips with bubbles exacerbated by the Fed's zero interest rate policy.

Carl's five major worries:

1. Low interest rates
2. Tax loopholes
3. Financial engineering of earnings
4. Stock buybacks that weaken balance sheets
5. The high-yield bond market.

• Icahn told CNBC the US Federal Reserve "may have backed itself into a corner."  Icahn argues the Fed should have hiked interest rates months ago, but doing so now is harder given China's weakness and other emerging markets.
• Corporate earnings are "suspect," driven by low interest rates more than anything else--"Instead of taking the money that they can borrow and really invest it in machinery, in their workers to make them more productive, what they do with the money is almost perverse. They just go in and buy another company to show analysts on Wall Street that earnings are going up, so their stock will go up and it's financial engineering at its height."
• Tax reform is needed on the issue of inversions and the repatriation of foreign profits.

See also on Domain Mondo: 

• Did The Fed Just Signal A Deteriorating Global Economy Into 2016 (videos) Sept 17, 2015
• Wall Street and the World Are Watching: Will the Fed Make Its Move Now? Sept 16, 2015
• ICANN is to Domain Names what Carl Icahn says Marc Andreessen is to Corporate America (video) Oct 10, 2014

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