http://en.wikipedia.org/wiki/Working_Group_on_Financial_Markets "The Working Group is an orchestrated mechanism that attempts to manipulate U.S. stock markets in the event of a market crash by using government funds to buy stocks, or other instruments such as stock index futures" ------------------------------------------------ Today's selloff was very orderly. No panic selling = no reason for intervention. Wait until the VIX gets back above 30.
Hehe. Reading this thread makes me realize again why I make money in the markets. "Today was perfect proof PPT doesn't exist" or "Yesterday was perfect proof PPT exists" or "Today was perfect proof this company can't go bankrupt" or "Today was perfect proof this stock is going to 100" So many ppl know things 'for sure' and still in any given situation, at least half of them are wrong
----------- Excellent link / article for more info. on the PPT. Very informative. Particularly interesting was the statement the most dangerous near-term threat to U.S. world leadership and thus to U.S. security, as well, would be a sharp decline in the U.S. securities markets. Such a decline would likely stun the U.S. economy at a time when the strength of our economy is critical to global prosperity, to the financial health and political stability of most nations, and ultimately to international security itself. This would explain the denial of intervention by the government as it would pertain to so called "national security" and create a moral hazard for investors. The article however does give enough evidence to show the contrary. Good stuff nevadan
Great link. I just got done reading that; it was so good that I decided to add it to my investment article folder, which I rarely do. Thanks.
Glad the two of you liked it. Anyone who believes the markets are "free" should read it. This is the part that bothers me. It has come to the point that mark to market operations are suspended. My thinking is that this is where the PPT action will ultimately blow up. Once the major players get to the point that they are trusting one another not to call for settlement all it will take is one bad actor to queer the deal. It will amount to yelling "Fire!" in a crowded theater. The hacks in DC and New York will use the method one time to many it will blow up in all our faces imo.