FTSE fails to hold rate cut gains (so do DJI and DAX)

FT ^ | 10/08/08 | Michael Hunter

[TigerLikesRooster]

Broken Surge

DJI (US)

FTSE (UK)

DAX (Germany)

[TigerLikesRooster]

Ping!

[DonaldC]

It seems the market does better when governments and bankers step aside.

[NVDave]

Because it isn’t working.

The TED broke 400 this morning. The credit situation is NOT improving, it is getting worse.

For all the blovation I see from “conservatives” here on FR railing against “socialism” — that is exactly what is needed just now. The government needs to seize banks, throw the management out of unopened upper story windows, and then go through the balance sheets (and what isn’t on the balance sheets) and get the situation cleaned up NOW. Not this “let’s give them an option to sell us the crap paper.” No, the government needs to inject liquidity in sufficient quantity that the Treasury gets a seat on the board of directors, and gets senior preferred stock with punitive yields, as well as warrants or options to purchase the common when share prices go back up.

THE central problem here is that NO ONE trusts any other bank. That’s what a TED of 400+ tells us and the high LIBORs are telling us.

The European nations are having to seize banks in order to clean up the mess. In a short time, those banks will be more trusted than US banks, and capital will flow there first, leaving us with as big a mess as we have now.

This has become a global race to see who can get their banks cleaned up and trustworthy enough to attract deposits. We’re not winning. We’re not as bad as, say, Iceland, but we’re not winning yet. We’re merely losing less quickly than the Euro zone.

[NRG1973]

The Dow is down 190 points right now (11:47 AM EDT). Investors are crapping all over Bernanke’s rate cut. Dontcha’ love that government intervention?

[NRG1973]

It seems the market does better when governments and bankers step aside. You're damn right!!! This whole problem was caused by government intervention...in the housing market.

[TigerLikesRooster]

the government needs to inject liquidity in sufficient quantity that the Treasury gets a seat on the board of directors, and gets senior preferred stock with punitive yields, as well as warrants or options to purchase the common when share prices go back up.

There is a precondition for this: Fire Hank Paulson. Keep any other Wall St. hack to run the Treasury show.

[GOPJ]

Even if someone puts a BIG band-aid on cancer, it’s still a band-aid. And it’s still cancer.

[TigerLikesRooster]

Correction:

Keep any other Wall St. hack to run from running the Treasury show.

[Vaduz]

450 page democrat altered intervention plan fails 2008.

[RSmithOpt]

"QUICK!!, BEN BEN, please, please print another trillion $$. Hurry, Hurry!!!. We've fallen and can't get up!! The cat ain't bouncing!!!"

Hold on to your pennies, FRiend.

[oblomov]

Stocks are all over the place this morning....volatility is unreal.

[Boiling Pots]

I knew there was a catch to those 14% Icelandic CD’s EverBank was peddling a few months ago.

[RSmithOpt]

"QUICK!!, BEN BEN, please, please print another trillion $$. Hurry, Hurry!!!. We've fallen and can't get up!! The cat ain't bouncing!!!"

Hold on to your pennies, FRiend.

[TigerLikesRooster]

What DJI needs is Viagra.:-)

[RSmithOpt]

Viagra don’t work on a corpse.

[TigerLikesRooster]

Then it is time to conjure up some Voodoo spell. May not work but is worth a try.

[ZX12R]

What DJI needs is Viagra.:-)

They've been giving it viagra every day. But it won't reach the bloodstream until hitting 8,000 or lower.

[RSmithOpt]

Maybe the entire Congress will do a naked dance in war paint and pink feathers on Oct. 13 in the reflecting pool in front of the Washington Monument. (next full moon)

[Lazamataz]

They've been giving it viagra every day. But it won't reach the bloodstream until hitting 8,000 or lower.

If you have a rally lasting four or more hours, see a doctor.