Yesterday and today proved that this is not the case. Investors have looked at the announcement and said to themselves: "Wow! The government is going to protect financial institutions against losses - even to the point of Money Market Funds, and they're going to keep other investors from shorting absolutely any financial company? Let's jump out and buy lot's of that - there's no risk!"
They made lots of money if they were day traders, but the investors (speculators) jumping back in for a long-term hold are in for an unpleasant surprise.
I must admit I’m sorely tempted to use this opportunity to greatly lighten my stocks. Of course, since I owned Constellation Energy, Warren Buffet is taking care of some of that for me. :-<
It’s just because frankly, while I understand some of what happens in markets, I have no stomach for knowing I’m losing money. It just bothers me more than it’s worth at this point.
Of course, if I was serious about that, I would have done something today. I didn’t.