Quote:
Originally Posted by flstf
When I first heard that they were not allowing short sales to stop prices from falling I jokingly thought heck if they want to srop the market from falling maybe next they will just ban all selling. Only direction will be sideways or up.  |
i actually thougth that EXACT same thing, as did many in my little trading group. short sellers, the uptick rule, etc...all just excuses. sorry, but teh people i know who do the 'real' short selling..ie the "i'm shorting this company till it reaches fair value' do far far far more research on the company than the people who blindly buy the stock bc "well, it's been going up"
so taking that effect out of the market is freaking insane. Plus, the ban will end..and i know a ton of cash that is just frothing at the bit to get a chance...
Tully, i'm really sorry to hear about your sister-in-law. If her retirement was with wamu...wow, that's gone from 36 bucks to .16 and didn't even really trade today...that's nuts. i know a ton of account managers are/were heavily invested in the financial sector as that has always been the safest and best performing over time...but now, abk, mbi, aig, leh, bsc, fnm, fre, reduced to mere pennies...freaking nuts. Sadly, financials, imho, are FAR more important than the tech stock bubble of the late 90's. a shell company/ipo that rises and falls hurts, but when a 150 yr old bank or the largest savings and loan bank goes under...that's worldwide oh my freaking god pain.
i think the tsunami analogy is pretty apt. The flood washes out a ton of trash and garbage, the water recedes and 'corrects' and what's left rebuilds..hopefully better than before. and if you don't think there is a ton of devastation, then i wish i had your glasses. I have seen several people laid off after a career spent with one company, i've seen retirements wiped out in seconds, hell, look at GM and GE..GM is at levels not seen since the 70's..down from 94 ten yrs ago to under 10 bucks now. Several GM employees have basically lost 90% of their retirement...how is that not devastating.