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TrebMaxx
05-06-2010, 12:48 PM
OMG! Never seen it drop like this!

Mr. Flopnuts
05-06-2010, 12:50 PM
Yeah. It hasn't been this bad since February. :spock:

cdcox
05-06-2010, 12:51 PM
bouncing back now.

TrebMaxx
05-06-2010, 12:52 PM
The Dow had dropped more than a 1,000 points at one point. Starting to come back a little now down 500.

Garcia Bronco
05-06-2010, 12:53 PM
Good work Obama (yeah, I know it's not even really your fault, but since people always want to blame the President for this stuff, I thought I'd get mine in early. :P)

Bacon Cheeseburger
05-06-2010, 12:55 PM
OMG MY 401K IS SCREWED!!1

cdcox
05-06-2010, 12:55 PM
Good work Obama (yeah, I know it's not even really your fault, but since people always want to blame the President for this stuff, I thought I'd get mine in early. :P)

In that case he has been doing a great job the last 5 minutes! Dow up at least 500 points in that time!!

DaFace
05-06-2010, 12:55 PM
That's quite a dip (and quite a rebound).

wutamess
05-06-2010, 12:56 PM
Great buying opp? I've been wondering for a couple weeks now if this is a longterm bear or just volitility because of Euro situation. Any input would be appreciated.

InChiefsHell
05-06-2010, 12:57 PM
WHat the fuck caused that shit?

tomahawk kid
05-06-2010, 12:58 PM
WHat the **** caused that shit?

Greek debt and possible defaults.

Market is uber risk averse these days.

eazyb81
05-06-2010, 12:59 PM
and back to normal. That was nuts.

eazyb81
05-06-2010, 12:59 PM
Greek debt and possible defaults.

Market is uber risk averse these days.

Nothing really materially new came out today though on Greece/Europe, certainly nothing that would make P&G go down 25% then up to down 5% in 40 seconds.

cdcox
05-06-2010, 01:02 PM
Heading down again.

Rain Man
05-06-2010, 01:05 PM
It's proof of insider information. Someone knew something.

Dave Lane
05-06-2010, 01:08 PM
In that case he has been doing a great job the last 5 minutes! Dow up at least 500 points in that time!!

Best 5 minutes of his presidency!

CrazyPhuD
05-06-2010, 01:09 PM
WHat the fuck caused that shit?

THe fact that the market is likely overvalued ad has bee for a while. THis was expected because things really aren't that much better no matter what the gov says. Age old rule you can't have a recovery without jobs...no jobs no recovery... Plus there's a shit ton of national debt that may go to hell(including ours).

Personally I'm excited....buying opportunity when it drops enough.

cdcox
05-06-2010, 01:11 PM
Flopnuts got a job. This market is a juggernaut!

Buehler445
05-06-2010, 01:34 PM
Sell the fact?

BIG_DADDY
05-06-2010, 01:37 PM
Awesome

Hog Farmer
05-06-2010, 01:38 PM
OMG MY 401K IS SCREWED!!1

Do what I did. Replace you 401K with a .30-06.

HotRoute
05-06-2010, 01:47 PM
i find it hard to believe that most of europe and the US has that much invested into the credability of Greece's lending. i guess i never realized they were that freaking important

CrazyPhuD
05-06-2010, 02:14 PM
i find it hard to believe that most of europe and the US has that much invested into the credability of Greece's lending. i guess i never realized they were that freaking important

heh it's not greece right now...it's actually spain and portugal that are the concerns. If they go down like a $2 whore during fleet week all of europe will be in trouble....

Silock
05-06-2010, 03:24 PM
Now they're saying it's a trader error.

I could see that, given all the automatic trading programs that are out there. Once they see a trend, the programs initiate sells to stem the losses. Other programs see it, and then you get something like this.

banyon
05-06-2010, 03:30 PM
good grief are we really this f*cking stupid?:

According to multiple sources, a trader entered a "b" for billion instead of an "m" for million in a trade possibly involving Procter & Gamble, a component in the Dow. (CNBC's Jim Cramer noted suspicious price movement in P&G stock on air during the height of the market selloff. )

http://www.vosizneias.com/54928/2010/05/06/new-york-dow-down-over-400-amid-europe-lending-worries

FAX
05-06-2010, 03:30 PM
It looks like a bunch of computers got scared.

FAX

cdcox
05-06-2010, 03:35 PM
good grief are we really this f*cking stupid?:



http://www.vosizneias.com/54928/2010/05/06/new-york-dow-down-over-400-amid-europe-lending-worries

.

Mr. Flopnuts
05-06-2010, 03:40 PM
The Dow had dropped more than a 1,000 points at one point. Starting to come back a little now down 500.

Wow. I didn't know it was that bad, I thought it bottomed out at 460 something.

Flopnuts got a job. This market is a juggernaut!

LMAO

Rain Man
05-06-2010, 04:04 PM
good grief are we really this f*cking stupid?:



http://www.vosizneias.com/54928/2010/05/06/new-york-dow-down-over-400-amid-europe-lending-worries



That's amazing.


So....how much do traders make? A junior one. Maybe $100,000 a year or so? $150,000? Doesn't really matter. All I have to do is get one of them to "accidentally do this again", and I buy all the way down until the "mistake" gets discovered. The stock goes back up again, the trader gets fired, I pay him $300,000 of the $5 million I make and we're both happy.

orange
05-06-2010, 04:07 PM
That's amazing.


So....how much do traders make? A junior one. Maybe $100,000 a year or so? $150,000? Doesn't really matter. All I have to do is get one of them to "accidentally do this again", and I buy all the way down until the "mistake" gets discovered. The stock goes back up again, the trader gets fired, I pay him $300,000 of the $5 million I make and we're both happy.

... You're only happy until you realize he ran off with your wife AND your girlfriend with the $20,000,000 he made on the side and didn't tell you about.

ChiefaRoo
05-06-2010, 05:58 PM
There were stocks that went to near zero and then back up to $40 to $50 a share all in the course of several minutes.

This smells like some kind of manipulation to me. It's also possible the market was hacked by someone who would love to put their big toe in our collective arses.

cdcox
05-06-2010, 06:02 PM
I think the most lasting effect was to push the gold bubble higher.

HotRoute
05-06-2010, 06:08 PM
this reeks of a conspiracy. i would like to see who started buy shit in that tiny time frame and banked. they should be questioned

Buehler445
05-06-2010, 06:11 PM
good grief are we really this f*cking stupid?:



http://www.vosizneias.com/54928/2010/05/06/new-york-dow-down-over-400-amid-europe-lending-worries

It's happened in the commodity markets before.

alnorth
05-06-2010, 06:12 PM
accenture went from over $40 to 1 penny, back up to around $40 again. It shot back up way too fast for any retail investor to ever take advantage, but anyone with access to the floor of the NYSE, knowledge of the precise moment, and a time machine could go back and turn $250 into over a million.

edit: these stocks also briefly fell to either a penny or a fraction of a cent, which would have allowed someone at the right time and place to make millions:

Exelon Corp
Eagle Materials
Brown & Brown
Iowa Telecommunications
CenterPoint Energy
Boston Beer
Casey’s General Stores

Why would anyone ever believe Casey's stock was valueless? The pizza alone is delicious enough to make you price it at a few dollars.

petegz28
05-06-2010, 06:16 PM
Word is there was an erroneous trade made in the futures market that caused a lot of this. The exchanges are "breaking" some of the trades, meaning if you thought you cashin on a stock going from $40-$.01 and back to $40 you won't. They are taking those trades off.

cdcox
05-06-2010, 06:21 PM
Word is there was an erroneous trade made in the futures market that caused a lot of this. The exchanges are "breaking" some of the trades, meaning if you thought you cashin on a stock going from $40-$.01 and back to $40 you won't. They are taking those trades off.

What? Isn't the invisible hand of the market infallible?

petegz28
05-06-2010, 06:24 PM
What? Isn't the invisible hand of the market infallible?

Actually this is a result of electronic trading. If this had happened on the NYSE a human would have caught it. Someone entered billion instead of million for the number of e-mini contracts they wanted to sell.

alnorth
05-06-2010, 06:29 PM
Actually this is a result of electronic trading. If this had happened on the NYSE a human would have caught it. Someone entered billion instead of million for the number of e-mini contracts they wanted to sell.

ya, reading up on it now. They are still digging into who is responsible, some people early on said a trade at Citi, but they are denying it.

The main focus right now seems to be on the "E-mini S&P 500 futures", where within 2 minutes over 16 billion of those contracts were sold. That obviously impacted a ton of small companies all over the place, and I imagine a bunch of electronic trading algorithms overreacted, some "doomsday" sell orders from careful investors were triggered and it all led to a big panic before wiser heads with lots of money started looking around and realizing these stocks seemed to be a bargain, and quickly bought the prices back up.

alnorth
05-06-2010, 06:39 PM
Here's a good article summarizing what the hell probably happened.

http://www.benzinga.com/media/cnbc/266498/where-were-you-during-the-crash-of-2010

The real problem more than likely occurred in electronic trading in the S&P 500 E-mini Futures contracts. This would create more contagion than a single stock because the E-mini contract is the most widely traded futures contract by program based and high-frequency based trading systems (take my word for it…I’ve done work for high frequency firms). An input error in the E-minis could, theoretically, force supply onto a thin market, sending futures down and in turn triggering technical and algorithmic selling in humungous size—instantaneously. This happens because high-frequency trading is coming into vogue so much that everyone and their brother thinks that if they write a program to buy/sell securities and/or futures around movement through moving averages they will become rich.

...

Even if you weren’t fast enough to pick up stocks that were being puked up during this middle of the session, there are still stocks on sale out there. High-Yield corporate bonds also saw their yields blow out as people needed liquidity

...

One other positive after today is that traders as a whole woke up and were shaken. Animal instincts started to take over and buying flooded the market, many thinking that if they did not get in now they would miss the trade of the quarter. This is important—remember that people panic into stock just as they panic out of them.

...

Oh yeah, elections occurred in the UK today and the Greek Government signed their Austerity Bill, but frankly none of the huge news moved the tape today.

ChiefaRoo
05-06-2010, 06:51 PM
I know of two ETF's that that went to .01 and .15 cents and then back up to $40 and $60 again. VB and VTI

CrazyPhuD
05-06-2010, 07:05 PM
Wow guess the market really didn't like Jamarcus getting cut....