Treasury Secretary William Gibbs McAdoo shut the New York Stock Exchange for four months in 1914, to prevent foreign investors from cashing out and throwing the U.S. into financial chaos at the outset of World War I, American policy makers routinely have suspended their support for free markets when confronted by economic peril. Bloomberg march 16th. ________________________ Hummmm?
I wasn't surprised to hear they are trying to outlaw short-selling and this is no surprise either. You really have to be ready for anything. There is so much intervention that there really are no safe investments. Could you imagine the chaos if they closed the NYSE in this day and age? This is serious.
Yea, but in all fairness think about this. 1907 was a Gov Action. you still had 13 more years before the "DEPRESSION" and crash of 1920. And as much as I am a "BEAR" righ now, which I think things are going to get far worse and it may feel like a mild Depression for a few years to some, the BULL will come back stronger than ever. Much like it did before the Crash of 1920. I think we need one more....ROARING Xs before we see a serious crash.
There's no other asset class to pass the bubble on to..... ah yes, there's one more.. Long-term gov't securities will be the last shoe to drop to send us spiraling down into the abyss. Milk could be $29.99/gallon and the CPI will still never be over 4% yoy, so, even if we are in a depression, it'll never be made official.