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CNBC Guest Says Absent Plunge Protection Team Stepping In, Market Would Fall; Wien, Kernan Disgusted
Zero Hedge ^ | 07/08/10 | Tyler Durden

Posted on 07/08/2010 8:51:43 AM PDT by TigerLikesRooster

CNBC Guest Says Absent Plunge Protection Team Stepping In, Market Would Fall; Wien, Kernan Disgusted

Submitted by Tyler Durden on 07/08/2010 08:44 -0500

A highly amusing exchange occurred earlier on CNBC when guest Damon Vickers of Nine Points Capital had an unexpected moment of truthiness and turned some heads when he said that "unless the plunge protection team comes in over the next couple of days, the markets are looking very dicey here." When a disgusted Joe Kernan asks if Vickers was making a joke about the PPT, the response is "absolutely not - it's common knowledge that the government steps in and does things to step on the gas and buy stock here and there." To which Byron Wien has a strong retort: "I don't believe it." All that and much more in the clip below. In the meantime, the market is sure having a field day with stocks as once again bad news are discarded and the smallest glimmer of positivity serves as a springboard for yet another ramping short covering spree.

(Excerpt) Read more at zerohedge.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: cnbc; manipulation; market; ppt; zerohedge
Navigation: use the links below to view more comments.
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1 posted on 07/08/2010 8:51:49 AM PDT by TigerLikesRooster
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To: TigerLikesRooster; PAR35; AndyJackson; Thane_Banquo; nicksaunt; MadLibDisease; happygrl; ...

P!


2 posted on 07/08/2010 8:52:41 AM PDT by TigerLikesRooster (The way to crush the bourgeois is to grind them between the millstones of taxation and inflation)
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To: TigerLikesRooster

For those of us layman, is the analyst saying O is manipulating the market to mask bad news?


3 posted on 07/08/2010 8:53:48 AM PDT by circlecity
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To: TigerLikesRooster
I personally do not believe that the PPT exists. If our markets are regularly manipulated by government then nobody in their right mind would invest savings into a manipulated market. It becomes a government program to ensure the safety of EQUITY investments. The whole idea is insane. Having said that... I am sometimes wrong. And, if I am wrong this time, many, many people will lose serious money once it becomes “believed” that the PPT exists to manipulate markets. A government insurance policy against down markets? Wow...
4 posted on 07/08/2010 8:57:01 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: TigerLikesRooster

I’ve suspected for a while that this is where the vast majority of the Stimulus funds have gone.

Our government is manipulating the stock market and picking winners with our tax dollars.


5 posted on 07/08/2010 8:57:17 AM PDT by CrappieLuck
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To: circlecity

Not O himself, but the infamous “they”, a higher authority. The question of whether the PPT works independently of the White House is a matter to be discussed over a few pitchers of beer.


6 posted on 07/08/2010 8:59:54 AM PDT by jiggyboy (Ten per cent of poll respondents are either lying or insane)
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To: CrappieLuck
and picking winners with our tax dollars.

Just meditate on this fact for a moment. If you knew which stocks the government would support you could make billions of dollars in profit. if you didn't, you could easily get wiped out. Whatever happened to the SEC and the idea that its job was to police free and fair markets for the protection of investors?

7 posted on 07/08/2010 9:00:00 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: TigerLikesRooster

Interesting take....He makes some sense....


8 posted on 07/08/2010 9:00:21 AM PDT by patriot preacher (To be a good American Citizen and a Christian IS NOT a contradiction. (www.mygration.blogspot.com))
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To: CrappieLuck
and picking winners with our tax dollars.

Just meditate onthis fact for a moment. If you knew which stocks the government would support you could make billions of dollars in profit. if you didn't, you could easily get wiped out. Whatever happened to the SEC and the idea that its job was to police free and fair markets for the protection of investors?

9 posted on 07/08/2010 9:02:24 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: April Lexington
If you knew which stocks the government would support you could make billions of dollars in profit

You do know that the six biggest "too big to fail" investment firms ALL had PERFECT trading records for the first quarter, at the same time that, for example, Goldman Sachs' "Conviction Buy List" for its clients was much worse than a coin flip, right?

10 posted on 07/08/2010 9:03:01 AM PDT by jiggyboy (Ten per cent of poll respondents are either lying or insane)
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To: TigerLikesRooster

Byron Wien was the guest host today — still defending Obama and his policies and reluctant to admit to the many many mistakes.

I didn’t see this segment but I think the guy makes a good point regarding the plunge protection team. Yesterday’s rally could represent such a manipulation because the technicals in this “rally” really are looking weak and maybe dangerous.


11 posted on 07/08/2010 9:07:57 AM PDT by ReleaseTheHounds ("The problem with Socialism is that eventually you run out of other people's money." M. Thatcher)
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To: jiggyboy
In the JP Morgan days, the “bigs” would get together and prop up the market because nobody felt like going broke. This can work to a point. But, the US markets are a subset of global markets and it is very difficult to prop up the world. My fear, no... make that terror... is that “they’ will figure out that Uncle Sam has a DUTY to prop up markets so the rich keep getting rich. If the government uses a Fed-like structure to manipulate equities to prevent down markets on a regular basis, the concept of a stock “market” is over. Equity valuation will be set by fiat... frightening consequences... gov takes the risk out of investing...
12 posted on 07/08/2010 9:08:24 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: jiggyboy

oops that would be four not six; Morgan Stanley had four days during the quarter where they didn’t make money.

http://www.nytimes.com/2010/05/12/business/12bank.html


13 posted on 07/08/2010 9:08:56 AM PDT by jiggyboy (Ten per cent of poll respondents are either lying or insane)
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To: ReleaseTheHounds
I think about this every day. Either we have a plethora of money managers who are acting like Crazy Sex Poodles and buying at the fist glimmer of positive news, or, we have a government who is propping up the stock market in some crazy attempt to influence the November elections. Either way, this is not a sane market and I'm no the sidelines because I just KNOW something is out of whack here and I don't want to be without a chair when the music stops...
14 posted on 07/08/2010 9:11:15 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: April Lexington

Soros....


15 posted on 07/08/2010 9:11:19 AM PDT by brytlea (Jesus loves me, this I know.)
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To: April Lexington

Some hyperinflationists suggest that a constantly-rising stock market that doesn’t keep up with inflation is a possible long-term strategy. Everybody “makes money in the stock market” but can’t figure out why they can’t quite afford that nice vacation.


16 posted on 07/08/2010 9:12:30 AM PDT by jiggyboy (Ten per cent of poll respondents are either lying or insane)
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To: brytlea
A thought. But not even the socipathic self-hater has the kind of money necessary to move the US equity markets. This has to be a coordinated effort by the Fed and the Treasury or a collusion of very LARGE money managers who can somehow pump billions into the markets without detection to stabilize prices. I'd like to lean toward a gaggle of naive money managers all stampeding, but its happening too often to maintain coordination. Something is amiss here...
17 posted on 07/08/2010 9:14:35 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: April Lexington

Anyone who watches the markets all day every day (as I do) knows that the big firms trade on pivot points, moving averages, and support and resistance. You can see the big bids and asks sitting there if you have level 2 and/or real time quotes.
The markets can be moved but it is the big firms and shadow firms doing it.


18 posted on 07/08/2010 9:16:14 AM PDT by sheana
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To: April Lexington

“If our markets are regularly manipulated by government then nobody in their right mind would invest savings into a manipulated market”

No one in their right mind would put money in the market whether it exists or not.


19 posted on 07/08/2010 9:16:20 AM PDT by dalereed
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To: April Lexington
I personally do not believe that the PPT exists.

http://en.wikipedia.org/wiki/Working_Group_on_Financial_Markets

The Working Group on Financial Markets (also, President's Working Group on Financial Markets, the Working Group, and colloquially the Plunge Protection Team) was created by Executive Order 12631,[1] signed on March 18, 1988 by United States President Ronald Reagan.

The Group was established explicitly in response to events in the financial markets surrounding October 19, 1987 ("Black Monday") to give recommendations for legislative and private sector solutions for "enhancing the integrity, efficiency, orderliness, and competitiveness of [United States] financial markets and maintaining investor confidence".[1]

As established by Executive Order 12631, the Working Group consists of:

    * The Secretary of the Treasury, or his designee (as Chairman of the Working Group);
    * The Chairman of the Board of Governors of the Federal Reserve System, or his designee;
    * The Chairman of the Securities and Exchange Commission, or his designee; and
    * The Chairman of the Commodity Futures Trading Commission, or his designee.

Plunge Protection Team "Plunge Protection Team" was originally the headline for an article in The Washington Post on February 23, 1997,[2] and has since become a colloquial term used by some mainstream publications to refer to the Working Group.[3][4] Initially, the term was used to express the opinion that the Working Group was being used to prop up the markets during downturns.[5][6] Financial writers for British newspapers The Observer and The Daily Telegraph, along with U.S. Congressman Ron Paul and writers Kevin Phillips (who claims “no personal firsthand knowledge” and is “not interested in becoming a conspiracy investigator”)[7] and John Crudele,[8] have charged the Working Group with going beyond their legal mandate. Claims about the Working Group, which are labeled conspiracy theories by some writers, generally include that it is an orchestrated mechanism that attempts to manipulate U.S. stock markets in the event of a market crash by using government funds to buy stocks, or other instruments such as stock index futures—acts which are forbidden by law. In August 2005, Sprott Asset Management released a report that argued that there is little doubt that the PPT intervened to protect the stock market.[9] However, these articles usually refer to the Working Group using moral suasion to attempt to convince banks to buy stock index futures.[10]

Former Federal Reserve Board member Robert Heller, in the Wall Street Journal, opined that "Instead of flooding the entire economy with liquidity, and thereby increasing the danger of inflation, the Fed could support the stock market directly by buying market averages in the futures market, thereby stabilizing the market as a whole." His statement has been used to claim that the Fed actually did act in that way. Mainstream analysts call those claims a conspiracy theory, explaining that such claims are simplistic and unworkable.[11][12]

more @ Wiki

20 posted on 07/08/2010 9:17:38 AM PDT by an amused spectator (Watching the MSM with Obama is like watching Joslyn James with Tiger Woods)
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To: TigerLikesRooster
It is certainly real.

See here

The question is what does it actually do.

21 posted on 07/08/2010 9:18:04 AM PDT by Pete (exponential problems require exponential solutions : 29thday.org)
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To: TigerLikesRooster
It is real. See my post above.

As far as what it actually does, here is one example of the accusations against it.

Time for Fed to disprove PPT conspiracy theory

22 posted on 07/08/2010 9:20:02 AM PDT by Pete (exponential problems require exponential solutions : 29thday.org)
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To: TigerLikesRooster

I don’t believe any PPT “saved” us from anything, but I believe there is substantial evidence that the Sept. 2008(15th or 18th?) bond crash was an organized reality!
You don’t have a recall of $550 BILLION in U.S. Treasuries, over a 2 hour period, without some level of orchistration.

I believe that Bush then received some very bad advice on how to deal with the problem. I further believe that the subject “bad advice” came from “instructions” from those involved in executing the bond recall.


23 posted on 07/08/2010 9:20:02 AM PDT by G Larry (Democrats: expediting the Destruction of America, before they lose power...)
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To: an amused spectator

Just goes to show that the market is too big to fail. If there is no downside risk in investing in the market, then, I guess, I had better jump back in. Uncle Sam is there to protect me and my wealth. I shall never again live in fear that the value of my stock portfolio will drop...


24 posted on 07/08/2010 9:21:32 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: April Lexington

This is why the FED wants what it does off the books. I think the Fed steps in and buys spiders, pushes the market back up, gives people a short term feeling that all is not lost.


25 posted on 07/08/2010 9:21:46 AM PDT by Colvin (Proud Owner '66 Binder PU, '66 Binder Travelall,)
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To: TigerLikesRooster; All

Today was truly a bizare day on CNBC.

The MENTIONED the remaining free agent basketball player may go to miami because......FLORIDA HAS NO INCOME TAX and this would mean an additional 4 million in his pocket.

Then the MSNBC talkers reacted like they have violated a censorship rule. The responded like taxes were really important in a crisis.


26 posted on 07/08/2010 9:22:59 AM PDT by longtermmemmory (VOTE! http://www.senate.gov and http://www.house.gov)
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To: TigerLikesRooster
TLR, Zerohedge is just a blog, and not a very good one at that. Take everything from Zerohedge with a huge grain of salt. It's much like a low-rent, financial world Debka.
27 posted on 07/08/2010 9:25:24 AM PDT by snowsislander
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To: Colvin
Likely. The whole purpose of the Securities Act of 1933, Exchange Act of 1934 and the subsequent Acts was to ensure a fair and transparent market. If its is not the case and if the Fedgov is insuring against downside risk then we all need to be in the market! How can we possibly lose when Uncle Sam is there to guarantee our investments!! And... why bother funding the SEC? We no longer need one! Nobody can ever again lose money in the stock markets!!!
28 posted on 07/08/2010 9:25:54 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: snowsislander
It's much like a low-rent, financial world Debka.

I like DEBKA!

29 posted on 07/08/2010 9:27:21 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: April Lexington

They are too busy watching porn....=.=


30 posted on 07/08/2010 9:27:42 AM PDT by cranked
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To: cranked

Apparently! Nothing much else to watch over there!


31 posted on 07/08/2010 9:28:30 AM PDT by April Lexington (Study the constitution so you know what they are taking away!)
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To: TigerLikesRooster

bookmark


32 posted on 07/08/2010 9:38:29 AM PDT by SE Mom (Proud mom of an Iraq war combat vet)
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To: TigerLikesRooster

bm


33 posted on 07/08/2010 9:39:12 AM PDT by Para-Ord.45
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To: TigerLikesRooster

Here is an actual Video of the Market being manipulated.

You have to get past the guys voice, but it clearly shows blatant illegal activity as contracts are bid on and instantly retracted

http://www.youtube.com/watch?v=xOr5suFJ6-k


34 posted on 07/08/2010 9:40:57 AM PDT by DanielRedfoot (What a fool believes, No wise man has the power to reason away)
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To: Colvin

“This is why the FED wants what it does off the books. I think the Fed steps in and buys spiders, pushes the market back up, gives people a short term feeling that all is not lost.”

That’s about right. Actually, with the removal of Glass-Steagall, the investment banks now are merged with traditional deposit banks, essentially giving them access to the Fed, and money backed ultimately by taxpayers. So it’s really not the Fed that is doing the market manipulation, but they provide the funds to investment banks that can move the market. Especially when investment banks can leverage those funds 30:1.

The real issue is transparency. As you point out, that is why the Fed is against opening their books. As my wife says about transparency: “Those that have nothing to hide, hide nothing.” Obviously, the Fed has something to hide.


35 posted on 07/08/2010 9:44:15 AM PDT by SDShack (0zer0care = "The Final Solution" - Socialized Soylent Green Healthcare)
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To: April Lexington

Yes, never mind which company is leading the world in innovation, technology or just a dern good idea.

The key to investing now is to find the companies’ stock that would bruise a politician’s ego should it not succeed.


36 posted on 07/08/2010 9:46:38 AM PDT by CrappieLuck
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To: April Lexington

Here is: Executive Order 12631—Working Group on Financial Markets

Source: The provisions of Executive Order 12631 of Mar. 18, 1988, appear at 53 FR 9421, 3 CFR, 1988 Comp., p. 559, unless otherwise noted.

By virtue of the authority vested in me as President by the Constitution and laws of the United States of America, and in order to establish a Working Group on Financial Markets, it is hereby ordered as follows:

Section 1. Establishment. (a) There is hereby established a Working Group on Financial Markets (Working Group). The Working Group shall be composed of:
(1) the Secretary of the Treasury, or his designee;
(2) the Chairman of the Board of Governors of the Federal Reserve System, or his designee;
(3) the Chairman of the Securities and Exchange Commission, or his designee; and
(4) the Chairman of the Commodity Futures Trading Commission, or her designee.
(b) The Secretary of the Treasury, or his designee, shall be the Chairman of the Working Group.

Sec. 2. Purposes and Functions. (a) Recognizing the goals of enhancing the integrity, efficiency, orderliness, and competitiveness of our Nation’s financial markets and maintaining investor confidence, the Working Group shall identify and consider:
(1) the major issues raised by the numerous studies on the events in the financial markets surrounding October 19, 1987, and any of those recommendations that have the potential to achieve the goals noted above; and
(2) the actions, including governmental actions under existing laws and regulations (such as policy coordination and contingency planning), that are appropriate to carry out these recommendations.
(b) The Working Group shall consult, as appropriate, with representatives of the various exchanges, clearinghouses, self-regulatory bodies, and with major market participants to determine private sector solutions wherever possible.
(c) The Working Group shall report to the President initially within 60 days (and periodically thereafter) on its progress and, if appropriate, its views on any recommended legislative changes.

Sec. 3. Administration. (a) The heads of Executive departments, agencies, and independent instrumentalities shall, to the extent permitted by law, provide the Working Group such information as it may require for the purpose of carrying out this Order.
(b) Members of the Working Group shall serve without additional compensation for their work on the Working Group.
(c) To the extent permitted by law and subject to the availability of funds therefore, the Department of the Treasury shall provide the Working Group with such administrative and support services as may be necessary for the performance of its functions.


37 posted on 07/08/2010 9:57:23 AM PDT by B4Ranch (Remember, guys, the enemy is to the left.)
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To: April Lexington

From the Reagan Library;

Executive Order 12631 — Working Group on Financial Markets

March 18, 1988

By virtue of the authority vested in me as President by the Constitution and laws of the United States of America, and in order to establish a Working Group on Financial Markets, it is hereby ordered as follows:

Section 1. Establishment. (a) There is hereby established a Working Group on Financial Markets (Working Group). The Working Group shall be composed of:

(1) the Secretary of the Treasury, or his designee;

(2) the Chairman of the Board of Governors of the Federal Reserve System, or his designee;

(3) the Chairman of the Securities and Exchange Commission, or his designee; and

(4) the Chairman of the Commodity Futures Trading Commission, or her designee.

(b) The Secretary of the Treasury, or his designee, shall be the Chairman of the Working Group.

Sec. 2. Purposes and Functions. (a) Recognizing the goals of enhancing the integrity, efficiency, orderliness, and competitiveness of our Nation’s financial markets and maintaining investor confidence, the Working Group shall identify and consider:

(1) the major issues raised by the numerous studies on the events in the financial markets surrounding October 19, 1987, and any of those recommendations that have the potential to achieve the goals noted above; and

(2) the actions, including governmental actions under existing laws and regulations (such as policy coordination and contingency planning), that are appropriate to carry out these recommendations.

(b) The Working Group shall consult, as appropriate, with representatives of the various exchanges, clearinghouses, self-regulatory bodies, and with major market participants to determine private sector solutions wherever possible.

(c) The Working Group shall report to the President initially within 60 days (and periodically thereafter) on its progress and, if appropriate, its views on any recommended legislative changes.

Sec. 3. Administration. (a) The heads of Executive departments, agencies, and independent instrumentalities shall, to the extent permitted by law, provide the Working Group such information as it may require for the purpose of carrying out this Order.

(b) Members of the Working Group shall serve without additional compensation for their work on the Working Group.

(c) To the extent permitted by law and subject to the availability of funds therefor, the Department of the Treasury shall provide the Working Group with such administrative and support services as may be necessary for the performance of its functions.

Ronald Reagan

The White House,

March 18, 1988.

[Filed with the Office of the Federal Register, 11:23 a.m., March 21, 1988]


38 posted on 07/08/2010 10:00:06 AM PDT by B4Ranch (Remember, guys, the enemy is to the left.)
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To: TigerLikesRooster
Damon Vickers is a talking head who doesn't seem to manage any capital - or if he does, he does so without filing any of the required documentation.

His "firm" - Nine Points Capital - apparently has a single employee: himself.

He spends most of his time opining on cable TV.

He is good friends with noted conspiracy theorist Alex Jones.

39 posted on 07/08/2010 10:02:28 AM PDT by wideawake
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To: DanielRedfoot
This has been going on for years. It's not surprising. When I was on the trading floor, those orders were called good till close, then it's cancelled. The specialist at one point could freeze the book and the order could not cancel, unfortunately the sec disallowed freezing the order. Now the orders pop in and out. Technology sometimes gets abused, we are stuck with it.
40 posted on 07/08/2010 10:03:23 AM PDT by DWC (what do kids know about)
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To: B4Ranch

That EO in no way authorizes the actions that you are implying.


41 posted on 07/08/2010 10:04:48 AM PDT by wideawake
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To: April Lexington

There is no question that the PPT exists.

The open question is, how active is it?

It used to be semi-abundantly clear when it came into the market. Now that computer trading is at least 70% of NYSE volume and high frequency trading dominates, the PPT actually has less of a job to do.

The impact of stock market performance; both longer term and “whether the DJIA closed green on the 6 o’clock news” is not to be pooh-poohed. The US economy is widely recognized as being 2/3rd consumer driven. There was a time when maybe only 15% of the population was invested in the market. With 401Ks, probably 70% are invested in the market, and they DO cut back spending when the market drops and they DO cut back spending when they perceive their home values decline. This has been very well studied by the Fed.
Additionally, the Fed & Tsy know that banks are currently deriving most of their income from trading. All of GS, JPM, and BAC have so stated in their quarterly reports for at least 3 quarters. Yesterday’s rally, in my estimation, was primarily based upon anticipation of “at least decent” bank earnings after State Street announced. Bank earnings have actually weakened a tad, because more and more of them are obtaining HFT hardware, operations, and quant departments. In effect, all sides of the war are or have already acquired higher and higher tech weaponry and the edge this provided mostly to GS when it was first introduced has been eroding. If it sounds like I’m implying these banks are scamming lizard-breath thieves who understand and cheerfully operate where there is NO enforcement of existing SEC regs against front-running and synthetic “flash” orders, you would be correct.


42 posted on 07/08/2010 10:07:36 AM PDT by Attention Surplus Disorder ("No longer can we make no mistake for too long". Barack d****it 0bama, 2009, 2010, 2011.)
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To: Attention Surplus Disorder
There is no question that the PPT exists.

Of course there is a question about whether or not it exists.

Namely the complete lack of any documented evidence that it exists. That raises some questions.

There may be plenty of anecdotal claims by market participants - who have a clear motivation to propose an imaginary solution as to why they were on the wrong side of the market - but no actual facts.

43 posted on 07/08/2010 10:19:55 AM PDT by wideawake
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To: wideawake

That’s what they (the PPT) are using as their authority. I’m not an expert in it but I have had numerous discussions with my banker and trading brokers over the year, they all agree on the same thing, there is a PPT and they use an EO as authority.


44 posted on 07/08/2010 10:26:33 AM PDT by B4Ranch (Remember, guys, the enemy is to the left.)
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To: snowsislander

“TLR, Zerohedge is just a blog, and not a very good one at that. Take everything from Zerohedge with a huge grain of salt. It’s much like a low-rent, financial world Debka.”

Wrong. Zero Hedge is the canary in the coal mine of financial blogs. Much like Drudge is for mainstream news. They are often days, weeks and months ahead of the mainstream financial news.

Case in point is the Greece and European Debt Crisis. They were trumpeting the downside risk of this months before it broke in the mainstream news. When it finally broke it actually caused our market to drop “unexpectedly”. Had investors been following Zero Hedge, they would have seen it coming and could have protected themselves.

Zero Hedge provides a wealth of links to detailed market information and analysis. Their commentary is based on interpretation of that data. As with any blog, there is a wide variety of opinions. This just gives the investor one more piece of economic data to help sort out the world we live in. They are not always right (no financial blog is), but to ignore it out of hand is financially foolish.


45 posted on 07/08/2010 10:34:45 AM PDT by SDShack (0zer0care = "The Final Solution" - Socialized Soylent Green Healthcare)
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To: April Lexington

It would constitute a huge and undoubtedly unConstitutional waste of tax money. No amount of shoring pu of prices can improve the course of the economy. It would, however, contribute to misallocation of resources which, of course, makes things economically worse. The only reasons for using such tactics would be political in order to maintain and increase political power and individual wealth for the manipulators and their bosses.


46 posted on 07/08/2010 10:34:58 AM PDT by arthurus (Read Hazlitt's "Economics In One Lesson" to have your econ arguments effortlessly to hand.)
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To: B4Ranch
That’s what they (the PPT) are using as their authority.

This statement assumes a number of things that are not in evidence:

(1) Documented evidence of market intervention.

(2) Documented evidence that such a market intervention can be linked to this EO's working group.

(3) Any statement by any member of the working group that they are using this EO as legal grounds for an otherwise illegal market intervention.

47 posted on 07/08/2010 10:35:51 AM PDT by wideawake
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To: April Lexington

April, someplace here on the FREEP a few days ago, someone posted a video showing overnight manipulation of the futures markets with big volume limit orders being floated and then quickly withdrawn in an apparent effort to manipulate prices in one direction or another. This was happening in after-hours but assuming the same techniques can be used during the trading day, this kind of manipulation looks very plausible. And the question arises: where is the SEC in what should be a slam-dunk case of market manipulation (it’s illegal to float orders not intended to be executed).


48 posted on 07/08/2010 10:36:44 AM PDT by ReleaseTheHounds ("The problem with Socialism is that eventually you run out of other people's money." M. Thatcher)
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To: April Lexington
Just meditate onthis fact for a moment. If you knew which stocks the government would support you could make billions of dollars in profit. if you didn't, you could easily get wiped out. Whatever happened to the SEC and the idea that its job was to police free and fair markets for the protection of investors?

Which is why Obama and Co. don't care if they aren't reelected, they're laughing all the way to the bank.

49 posted on 07/08/2010 10:40:36 AM PDT by TheThinker (Communists: taking over the world one kooky doomsday scenerio at a time.)
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To: TigerLikesRooster

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50 posted on 07/08/2010 10:54:46 AM PDT by PMAS
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