Daaamn
Currently a bit under 500 points down but still 30 mins to go. A 1000 point drop in a day would have been worse than any of the drops during the worst of the banking crisis so this is pretty crazy.
Thoughts?
I called it yesterday (see post: Inflation rate combined with food and energy: 18.7% since March 2009):
Consumer good price inflation = oncoming recession.
Gold up 30…
People of Europe: Rise Up!
I saw that. I wonder if anyone bought at the bottom.
Watch CNBC trying to make sense of all this, you will have a nice laugh…
they are trying to tie to exactly when the Greek police broke up some small riot
Anyone watching Bloomberg? Some guy is saying that the only way out this mess for Europe is a bailout.
Maria Bartiromo: “where are the regulators”
‘someone hit a ‘b’ for billion when they mean ‘m’ for million’
Let me guess: commodity prices are rising because of Chinese demand, the stock market is down because investors are merely taking profits, and now is the time to buy!!
BTW: Silver is still so undervalued.
The BBC is trying to spin this as either those pesky “animal spirits” or, weirdly, computers are to blame!?
Seriously, the two sub-headings they use are “Panic Sell” and “Machines Took Over”. Not even The Onion is this good! XD
Noooo! Economy! Don’t die! I just spent A TRILLION DOLLARS reviving you!
NOOOOOOOO
Also, the computers have destroyed the economy again.
I wonder if the guy who hit “b” will get fired?
Can someone give a laymans version of this? I don’t even know what the ‘DOW’ is.
“Also, the computers have destroyed the economy again.”
Or they saved the day! Just imagine how many automatic purchasing orders came in when is started plunging by hundreds of points.
How has the Fed responded?
Robert Wenzel:
"As long term EPJ readers know, I have been holding the belief that the market was in a huge dead cat bounce climb from the financial crisis lows.
The problems in Greece and the other PIIGS is in a certain sense the result of a lack of new money being printed, money which would inflate away the debt problems for the PIIGS. The Federal Reserve is simply not printing money despite many, many reports to the contrary (and there is only limited printing by the ECB).
The lack of liquidity is squeezing governments in this stage of the crisis. The stock market downturn is really playing almost a support role. Although some of today’s drop, down at one point by as much as 900 points, is being blamed on a bad print in PG stock, the general trend was much lower before the suspicious alleged bad print.
The liquidity to support this market is simply not there.The dead cat has landed.
At some point , I expect the Federal Reserve will start printing again, but that day is not here yet."
Dow is the Dow Jones average. It is the sum of the prices [weighted by some scheme] of the important US stocks. Each point is a dollar. So if today it dropped 500 points, a huge amount, it means the price of stocks has dropped steeply, and plenty of people lost money.
All this after the higher Dow was about the only thing Obama had to show to “prove” the recession is over, and jobs for everyone are just around the corner.