BAC printed under $5, but is now up 4% on the day. S&P clients have losses if they just shorted the downgraded banks. Will S&P strike back? The battle between these 2 is on. Even before this, there were harsh words exchanged between these 2.
NO! I can't believe no one has picked up the tell, that the move by the central banks today are essentially telling the Europeans that if they go ahead with Eurobonds, they will be there to support it. If "Springtime for Merkel and Germany" back out of the idea of Eurobonds on Dec. 9th, then the Euro dies and Gozer will appear in all the former Euro members - (Gozer is what happens when you're bond market goes bazonkers with unsustainable yields that the country cannot handle). As for today, really, who the hell gives a doohickey about swap lines. Those things were always available.
I think this was probably planned months in advance and the downgrade didn't come until after the close yesterday and we were up huge before the open today. I'm pretty sure today was just part of the 'inflate our way to prosperity' and not some feud over a downgrade that didn't really result in anything.
This happened yesterday, but did you guys see the S&P negative watch on Europe (including Germany), just as Obama was due to speak? The timing is the main point here. Like I said above, D.C. and S&P have already exchanged verbal fisticuffs. Wouldn't it be strange if Wall Street ends up saving the U.S. because they are independent of D.C.? S&P for starters, is an institution that could keep the politicians from spending our future - for their own moment of narcissistic glory.
Great insight. No it would not be weird... Wall St and capitalism is what built this country, not pubic servants!