the order was entered 20min before the close, well after the indices started tanking. My feeling is that the order was not an error. In fact , I think Bear Sterns will most likely try to unload the rest on Thursday.
interesting article, but they said they cancelled almost all of it. However, whatever technical damage that happened is already in the charts. I think the markets are a real coin toss right here, there are classical TA indications for a bounce, there are fundamental reasons for a crash. The action in the last hour hurt the TA a little but only on the very short term so far, it depends on whether there is any follow through.
I don't think so. If they did want to execute an order that large, they would be crazy to reveal their hand like that. However, they do have alot of positions to unwind tomorrow.
Once they figured out what happened, they must have been freaking out trying to get those positions covered! Can you imagine the look on their S&P broker's face when he got an order to buy 2500 big cars at the market! :eek: :eek: :eek:
Definitely a Market Not Held order for the floor broker in the S&P 500 Index Futures Pit And, his buddies were probably front-running it all the way.