Posted on 02/27/2007 11:47:53 AM PST by Perdogg
"This is much like the crash in the '30's"
Oh, BS. Stop trying to fan the flames.
Gained 100 points in the last 9 minutes.
Morning of Oct 20 1987,,,,
Not quite that bad.
Not even as bad as the correction of 1987.
You don't call a 250 point drop in less than 5 minutes, something to be concerned about?
http://biz.yahoo.com/ap/070227/wall_street.html?.v=44
A 9 percent slide in Chinese stocks, which came a day after investors sent Shanghai's benchmark index to a record high close, set the tone for U.S. trading.
Investors' confidence was knocked down further by data showing that the economy may be decelerating more than anticipated. A Commerce Department report that orders for durable goods in January dropped by the largest amount in three months exacerbated jitters about the direction of the U.S. economy, which were raised a day earlier when former Federal Reserve Chairman Alan Greenspan said the United States may be headed for a recession.
"It looks more and more like the economy is a slow growth economy," said Michael Strauss, chief economist at Commonfund. "Moderate economic growth is good -- an abrupt stop in economic growth scares people."
The posted graph apparently is a live link, because it's now reflecting just about that.
Trading must be panic driven HUGE.
What kind of volume are you seeing?
I was on the desk that morning and watched every tick. Not at any time did it ever come CLOSE to losing 200 points in two minutes.
"You don't call a 250 point drop in less than 5 minutes, something to be concerned about?"
I don't call it anything close to a Great Depression redux as you did, no.
I was refering to the rate that it was dropping, not the volume.
Trading volume is shown on the bottom of the graph posted to this thread.
Of course, after we installed limits to prevent the loss of the market volume since then. I was refering to the rate of decline. 250 points in 5 minutes...
Follow-up on this afternoon's gap down in the market
Regarding today's afternoon plunge, a CNBC commentator notes that at first traders on the NYSE floor thought it was a bad print. Then traders believe that a series of trades were queued up against the curbs, and when the curbs were released, then the Dow gapped down another 200 points in a matter of minutes. Says traders have never seen such an instantaneous gap down... It's worth noting that at least for the moment, the Dow seems to have held its initial test of its Dec low of 12,090 (see 15:08 comment)... Dow down ~400, S&P down ~44, Nasdaq down ~86.
Wonder if some mutual fund automated selling, then buying kicked in at 3:00pm? 250 points down in a couple of minutes, then 100+ points up in the same amount of time - that's unusual. I saw stuff like that on the NASDAQ back in 2000, but it's unusual for the Dow.
What wil tomorrow look like? The last panic we went through in 2002, devalued good, healthy stocks for no logical reason.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.