I think they are having to sell to raise their reserves. No one will say this but just stop and think.
You won't here to many financial news channels talking about this but it's the investment banks doing all the selling to raise cash levels. You don't think it's the 401k crowd selling, shoot they will sell at the bottom they always do.
Not to create a panic - but I have noticed at least one large player in a plain vanilla type arb business (A pure ARB) is no longer in the marketplace. This is decent news for me as I've been able to make about 10 times what I normally do as margins are significantly higher. However, it has me very concerned about the health of some of these firms - perhaps a very large one may be in trouble...... Ignorance + leverage = Disaster