Look out below. Market wrap: news that the US stimulus package...

Look out below.

Market wrap: news that the US stimulus package has been signed into law failed to stem the carnage during a grim night for American markets. The major indexes fell 3.5 - 4.5%, with the Dow finishing at the old November low. We should find out within days whether we have seen the bottom of this bear market.

Gold mining was the only sector to be spared in the US, although even there gains were slender. Banks, REITs and oilers bore the brunt of the selling.

The price of gold climbed more than 2.5% to a six-month high of $967.50. Oil reversed yesterday's gain, dropping almost 7% to $35. The recent rally in base metals continued to unwind, with solid falls across all metals.

Our futures say we're heading back towards our November low, with the SPI losing 70 points to 3371. That's just 30 points above last year's low.

It's a day to be nimble. There will be opportunities for trades in oversold stocks but look to be in and out quickly. Good luck to all.