Also of note here is you see across the message boards some elated newbie herd traders all giggly about their investment, how funny! All the big financials gapped up and then SOLD OFF throughout the rest of the day Friday. An idicator of things to come? Go look at the quotes of ABK and MBI, the next credit default swaps insurers to go into bankruptcy. ABK was down around 45% Friday and another 40% after hours!!! MBI was down 8% and another 7% after hours. You truly can fool some of the people all the time. The rest of the remaining financials took the poison bait as well and it will be a fun short if there is anything left after the 9th day. Enjoy!
1) short selling, they only ban new shorts, old short positions are not required to cover, right? 2) CDS, I don't know much about it, but I don't think it would destroy the financial system if all CDS fails.