Not disagreeing that the Fed might, through its cohorts, initiate action(secret)under very unusual circumstances in order to stabalize matters temporarily; what I was referring to was the subscribing to a conspiracy theory for eveything one can't explain. It might be better to look within oneself for those answers and take some responsibility. Keep your eye on the ball, and don't let yourself be unduly distracted; as the young guns say here, it's all aboutmaking money, it's as simple and as hard as that, and the simple distractions only confuse the issue. Living well is the best revenge!
The "plunge protection team" actually does exist, although it is called The Fed Working Group. It was created after the 1987 crash and signed into being by Ronald Reagan. The part that is conspiracy theory is what do they actually do? They are not required to disclose their operations. The bottom line is that nobody in their right mind would have jumped into the abyss yesterday with enough capital to save the markets unless they had some kind of major backing and encouragement like the fed. It would be suicide otherwise.
Maybe yesterday this was put up, maybe not. If I compare with 7th/10th of June I am not sure. The same pattern there ...
So ... yesterday there was some special event like wcom or 9/11 we to date do not know about ... ? :eek:
that rally looked totally fishy to me. If I were the head honcho of the plunge protection team or whatever, what indicator would I use to know when to jump into action. How about a presidential address saying that things are ok, strong etc. and having an s&p chart downticking on every word? I would look over to my second in command and say "we know what we have to do..."
Very interesting point. But as a head honcho of the honcho team I would also know I cannot influence the market long term this way. But then again: If the president calls ...
obviously a futile maneuver. so what would their true function be? either to save face for the pres. or to smooth out the inevitable decline. they probably have huge statistical bell curve graphs on the monitors of their secret underground trading base showing the psychological profiles and "uncle points" of the investing masses. "a rollercoaster on wall street with a -45 pt finish" on the evening news, keeps hope ALIVE. a 400 pt drop on the evening news, and everyone throws in the towel.
Trying to stop a runaway train would be an act of sheer stupidity on the goverment's part; in otherwords, par for the course. Stupidity, shortsightedness and inflated self-importance: what most politicians are all about. if it's between devious or dumb, i lean more towards dumb