I was jumping bikes off of plywood ramps proped up by stacks of car tires in '87. What happened with futures v. spot back then?
The S&P was trading at a 45 handle discount on the Thursday after The Crash when George Soros puked 5,000 S&P's off the opening because he got nervous due to the Dollar's action. There were literally no bids off the opening, and the few that were there were "hit" even before the opening bell rang . . . I believe that Soros wound up suing Lehman at the time because he felt that his order to dump was "disclosed" by the clerks. I came in LONG a 1-lot that was had been "in the money" by a handle from the previous day. I couldn't find a bid off the opening (most of the opening bids had already been "cuffed" by brokers and their "bag" men) and I finally puked it about 10 minutes into the session. - - - Spent the rest of the day making the money back and being up a couple of grand by the end of the day. Talk about volatility! Those were the days.
u mean the cash was 45 pts premium to the futures BEFORE the crash? or after? What is so strange about today's action aside from the afterhours shenanigans?
The 45 point discount occured 3 days after the Monday Crash. My guess is that today's after hours activity has something to do with the quarterly expiration of some SPX options. Someone may have been "put" some stock at the 800 level and they sold futures to hedge. Just a guess.
buy all the dips. Futures recovering form this dip because Asian markets are surging. Expect European markets to surge, too. Then the futures will turn green for another big rally tomorrow.
If there are any new people on ET, this person's advise is akin to the black plague; do the opposite of what he says. He is a 14 year old paper trading from his computer science lab at school, who's lost 90% of his monopoly money. stock_turd3r: Werd.