Even the Bear Stearns HQ was built for $280 million in 2001... Those employees are dead men/women walking.
Posted on 03/16/2008 7:34:49 PM PDT by TigerLikesRooster
On the other hand, maybe JPM was $688 billion on the short side....
Even the Bear Stearns HQ was built for $280 million in 2001... Those employees are dead men/women walking.
Illiquid — The state of a security or other asset that cannot easily be sold or exchanged for cash without a substantial loss in value. Illiquid assets also cannot be sold quickly because of a lack of ready and willing investors or speculators to purchase the asset. The lack of ready buyers also leads to larger discrepancies between the asking price (from the seller) and the bidding price (from a buyer) than would be found in an orderly market with daily trading activity.
Illiquid securities carry higher risks than liquid ones; this becomes especially true during times of market turmoil when the ratio of buyers to sellers may be thrown out of balance. During these times, holders of illiquid securities may find themselves unable to unload them at all, or unable to do so without losing a lot of money.
Because they’ve got a lot of skin in the game.
I read an article that companies are talking about leaving London because of over regulation and all that congestion tax business...
Bottom buyers will get killed on Monday and maybe all this week. Better off selling the quick sharp rallies.
Longs are too accustomed to making money on dips...this is not dip buying time...this is capaital preservation time.
Look at the 87 crash percentage loss and apply it to our current indexes...that gives you an idea of what we are going to see eventually.
“Tomorrow you will see the Fed enter the stock market through surrogates to buy Dow and Nasdaq componants with printed money to artificially bolster the market.”
I personally think they’ve been doing this for awhile and alot over the last few weeks, protecting the key support levels on the S&P. That’s what the pros watch and trade...the bounce action has been strange...and unnatural.
“Holy week is going to be a real rough ride. Hold on.”
Pray for the novice investors and trader. They will get killed in this Bear market...
Short sellers will get killed too if they get greedy and take positions too big for their fast fingers. The Fed will be intervening and we are going to see 400 pt swings in very short periods of time. I’m taking small short positions on the counter rallies. If we don’t rally and just totally selloff I’m just watching for the history of it all. It’s not doomsday, we’ll recover, but some will get wiped out. BE SAFE. DON’T GET GREEDY.
Here’s from the Founding Father’s Quotes thread that I thought was apropo:
“We should never despair, our Situation before has been unpromising and has changed for the better, so I trust, it will again. If new difficulties arise, we must only put forth new Exertions and proportion our Efforts to the exigency of the times.”
George Washington
A lot of traders on FR talk good tech stuff and have a lot more understanding of all the ins & outs much better than I.
However IMHO, the 'trickle up effect' isn't being discussed. What we are not hearing / reading is the total net effect that will cause the absolute bottom this fall.
As energy and food skyrocket, the dollar continues to fall, especially with the Fed BS move last night.
The retail, entertainment, tourism, service sectors of the economy are going to take it on the chin....it's already showing, and purposely being adverted.
Why, because middle class America is struggling to pay its energy and food bills.
Sure Wally World's biz is up as well as other discount stores, however, from what I hear, the box stores in the malls are in a bad way and have been since before Christmas.
I've read Italy.
They are also proposing a punitive tax on foreigners who spend part of the year in London.
I dont think so, we are right at or very near the bottom
The Fed will try to prop the market up as much as it can...violent up and down swings ahead for sure due to that.
But when the 5th largest investment banker in the country was going to zero - you can bet that there are likely 7-10 regional bankers and smaller investment bankers that are in deep trouble. Bottom? Not even close. The Fed can’t make people think we are in a bottom and cause big short covering, but we’re going lower. We’re likely going much lower eventually - this could be an extended Bear market like in the 70’s...it happens.
I hope you’re right to...because if you’re wrong, it’s going to get very ugly.
So? How’d you do?
I did buy Washington Mutual call options today...that is a speculation since WM is one of the weaker banks. After a few days more (taking into account what the investment bank CEO's say over the next couple of days) I think some of these stronger financials may be a great buy and I will most likely step in for the longer term though next week could be better timing.
Also, refinieries could be a great buy here as the oil bubble begins to pop. I wish I had more cash for one of those.
All the best.
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