Posted on 09/14/2001 8:05:05 PM PDT by NativeNewYorker
WASHINGTON, Sept 14 (UPI) -- U.S. and British intelligence agencies are investigating links between alleged terrorist mastermind Osama bin Laden and various stock trades in the United States and Europe around the time of Tuesday's devastating attacks on the World Trade Center and the Pentagon, which sent foreign markets into tailspins over worries about the U.S. economy, according to the Sankei Shimbun newspaper in Japan.
Among other things, under a practice know as short selling, a person with prior information can score large profits when a stock sinks in value on certain news -- such as corporate problems, or in this case, the more broader news of an attack which has worked to economically hobble the United States.
The attacks halted trading on the U.S. markets before the opening bell, but authorities are looking into trades before the official opening of stock futures.
There are also unconfirmed reports of Japanese authorities looking into similar securities transactions.
The U.S. Securities and Exchange Commission declined to "confirm or deny" any such investigations by U.S. financial authorities, but a spokesman added that the agency has received a variety of investor e-mail "suggesting that the SEC check records" on stock transactions around the time of the attacks to establish any possible linkage to profiteering by persons related to the terrorists.
They CAN take all his money. This makes it that much easier to find.
No, but if he placed large orders, it would give us a link to associates that placed the orders! That could be invaluable!
If so, we had better watch out for 'friendly fire accidents' (Sunburn antiship missiles?) from supposed allies during coming military maneuvers.
Perhaps Mr. Clancy can provide some creative input to our strategic planners--ala his alter ego, Jack Ryan. It was brilliant how the bad guys were finally handled in the subsequent book, 'Executive Orders'.
While I have not participated in the markets for a while, over the past week or two they seemed 'heavy', like someone was 'leaning' on then. [Kind of like the Hunts and the silver market in reverse.] I had even printed charts on Monday, to look at later. It was eerie when I found them again on Wed morning.
Good post. Glad someone is looking at this. Could well be a smoking gun.
I'm sure all the S&P futures sell tickets are going to made to stand up and speak!
in addition, declare a temporary moratorium on future short-selling... it can be done:
"regulatory authorities could prohibit short selling, says Barry Hyman, chief investment strategist at Ehrenkrantz King Nussbaum, who remembers when the American Stock Exchange banned shorting shares of the formerly public Home Shopping Network."
It is FAR more efficient to short futures or buy put options on indicies.
You want leverage? Buy short-dated out-of-the-money puts on S&Ps - interestingly, the Sep series expires this week.
I dare say trading records are going to be examined VERY carefully.
BTW, I am NOT short.
Because of that - I was convince we were dealing with a nation-state (Saddam) - as I was watching the unbelievable.
Between the time of the attack and the closing of various markets, of course prices swung sharply, but that appears to be in reaction to, rather than in anticipation of, the attack.
That said, insiders would have been quietly accumulating positions in the days and weeks preceding the attack. Now we'll see if they can get out.
If you play it right, there is nothing more rewarding [in the profit and gamemanship sense] than a good play on the short side. If you're wrong you are screwed.
FWIW: I got pretty good at it. I perceived it to be very nonproductive, which is why I don't trade anymore.
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