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218 comments on DrumBeat: October 27, 2008

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mcgowanmc on October 27, 2008 - 9:17am Permalink | Subthread | Parent | Comments top

Thank you. The PPT has learned it's lessons. tactically at least.

They started manipulating Dow/S&P futures in Australia.

""What we're seeing is capitulation selling on covering of the yen positions. That's creating an awful lot of uncertainty," said Benjamin Collett, head of hedge-fund sales trading at Daiwa Securities SMBC in Hong Kong. "The yen continues to strengthen as people are unwinding risk and there is nothing but pain there.""

http://www.marketwatch.com/news/story/hang-seng-crumbles-127---/story.as...

“The system is paralysed, and it is starting to look like Black Wednesday in 1992. I’m afraid this is going to have a very deflationary effect on the economy of Western Europe. It is almost guaranteed that euroland money supply is about to implode,” he said.

http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/326005...

How can Hang Seng be down 12% and the Dow down .56%?

Volume will be on a pre Holiday level.

Ken Deffeyes: Peak Oil is the Real Cause of the Current Financial Crisis

Oh. And BTW, Top o' the Morning to all!

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mcgowanmc on October 27, 2008 - 9:42am Permalink | Subthread | Parent | Comments top

To -1.

Dow down all of 92 pts, even as DVol: UVol is 10:1.

How about this. The US closes the market by not allowing trades.

While intermittently hitting bids.

The executive's words were "Nobody is paying attention to the spot price anymore. It doesn't mean anything."

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mcgowanmc on October 27, 2008 - 10:31am Permalink | Subthread | Parent | Comments top

To -2's:

Want that be hilarious when the US Government has to step in
bail out the Las Vegas Sands? Talk about a Casino Economy!

"Dow 6000 Next Week

Relax, no reason to panic. In today’s WSJ everything is just rosy. There is a years worth of bad news in just one issue! CALPERS lost 21% of it fund since June (48 billion dollars). They even mentioned that 63% of their stocks were in the global market (talk about dumber than a sack of rocks). They might have to ask California employers for a 4% increase in contributions on top of the current 13%.

Then on the same page there is an article projecting state budget shortfalls for next year ranging from 2 to 10 percent depending on the state. Let’s just triple that to be more reasonable 6 to 30 percent. California was projecting 5% so we will figure 15%. What part of the state budget gets cut first? CALPERS employees: Teachers, Police, Fire, Highways and all sorts of government services.

This is going to be fun for everyone!"

http://greatdepression2006.blogspot.com/

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alan on October 27, 2008 - 3:39pm Permalink | Subthread | Parent | Comments top

The recent volatility in the stock market has affected my expectations. I checked bloomberg earlier, seeing
S&P 500 870.69 -6.08
NASDAQ 1,542.44 -9.59
Russell 2000 463.15 -7.97
I initially thought wow another big drop down 6-10%, then I saw that that was just the points lost actual percents were -0.69, -0.62, -1.69.

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Darwinian on October 27, 2008 - 10:33am Permalink | Subthread | Parent | Comments top

Thank you. The PPT has learned it's lessons. tactically at least.
They started manipulating Dow/S&P futures in Australia.

Yeah right! The US market is down over five trillion dollars since July. The PPT did not have enough cash to swing the US market so they are trying to swing the Dow and S&P from Australia. Takes a lot less cash to swing that market. Unfortunately the S&P/ASX 200 Index and the Dow Jones Australia LPT Index usually follows the US market, they do not lead it. At any rate pumping up the Australian market would have very little, if any, effect on the US market.

Mac, if there is such a thing as the PPT, they could not possibly be dumb so dumb as to think swinging the Australian market would pump up the US market. Both, right now, are at the mercy of the financial markets. And that is what the Fed is trying to do right now, pump up the financial markets with the bailout package in an effort to help the industrial and other equities markets.

How can Hang Seng be down 12% and the Dow down .56%?

Dow down .56%? Since when? At any rate, if you are talking about one day's movement, such a disparity is commonplace. They are two different markets, half a day's timezones away. Overnight news or inter-day news can easily cause such a disparity. The Hong Kong drop was huge but it is also a much smaller market. Half a day later the New York market moved on other news.

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218 comments on DrumBeat: October 27, 2008

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