Markets are surging

After a chaotic day that ended with the $4, markets are now bouncing back fiercely.

Dow futures are up 550 points (3.5%). S&P futures are up 66 points (3.5%). Nasdaq futures are up 172 points (4.3%).

"After vertiginous falls by many equity markets yesterday, and dramatic moves in many currency pairs, with the yen and euro 'winning' while China and commodity-sensitive currencies were beaten up, the 'traditional' Tuesday reaction would be for a bit of a bounce all round," Societe Generale's Kit Juckes said.

But as Juckes also noted, we aren't exactly seeing a uniform bounce.

In fact, China's stock market crashed again. On Tuesday, the $4, which followed $4.

Following China's market close, the $4 to prop up the markets and economy. China's banking reserve requirement ratio (RRR) was been cut by 0.5 percentage points, which leaves it at 18%, down from 18.5%. It's also cut the one year lending rate by 0.25 percentage points (from 4.85% to 4.6%) and the one year deposit rate by 0.25 percentage points (from 2% to 1.75%).

More to come.