Price action was pretty bearish today, it looked like a bit of profit taking with no bounce. Without the shorts I expect the next decline for the financials to be even more ferocious. IMO reg will be gone once FRE, FNM get recapitalised....
http://blogs.wsj.com/economics/2008...et-custody/?mod=homeblogmod_realtimeeconomics A little late to the party......what a mess....
Excelent point... shorts take profits during the panic... making the market bounce a little on the way down... without the shorts it's just plain freefall...
Well now.... Today's another day..... and it looks like the great intellect of the SEC's best is shining through regarding the temp SS restraints.... 201pm wb -9.05% rf -8.86% fre -6.01% fnm -4.49% and more leh -6.53% mer -5.44% zion -4.05% bac -3.95% You know ....The SEC policy seems to be working if their goal is to get the stocks close to $0 in a few days.... Or was that their goal?
How about you go back to Friday afternoon, and recalculate fro the lows? Or don't you care if your analysis is even handed.
And be sure to keep in mind how well the SEC/CFTC is doing at keeping non-accredited investors out of hedge funds - even though they are sophisticated enough to understand the risk but aren't loaded - and turning them toward much safer investments like F, GM, FRE, FNM, CROX. Oh yes, we cannot forget CROX! I sure don't follow the guy but I'm gonna guess Cramer pumped that one, yes?
Well now....it's Monday at 153pm.... And wouldn't you know the SEC Short Sale Plan is working like a charm.... Just a few more days for a lot of these protected companies to go to $0 at this rate.... Here is today's action.... STOCK % MER -8.68 LEH -5.28 C -5.15 MS -3.68 RL -3.06 BAC -2.77 BK -2.64 ZION -2.11 Idiocy at its best !!!!!!! Aren't you glad the SEC is there to protect you ? It is called " STOCK MARKET KATRINA ".....
On my way to appraise some more REO's this morning I heard on the radio that they may extend the short sale rules to insurers and "building stocks". I ssume they mean bond insurers and home builders. This is beginning to take on the air of a dark comedy.