Posted on 05/06/2010 1:58:32 PM PDT by Newton
I don’t believe this because it’s only been a day or two since I read on FR that the European markets were going to tank in the next day or two and we would be next. (paraphrasing)
You must have missed the down over 900 points from this afternoon.
Still doesn’t add up. According to the rumor, a trader at Citi mistakenly typed a “b” instead of an “m” - I’ve heard 6B, 16B and 15B. It’s also mixed up whether the context was $16B of shares or 16B total shares, but typically one sells a certain number of shares at a target price, not sell a certain $$ volume.
$16B represents about 10% of P&G’s total market cap. 16B shares represents over 300% of P&G’s total outstanding and over 100,000% of its daily average trading volume.
Huh? Someone accidentally puts in a trade selling 10% of all of P&G, and no person or QA or approval process asks if that’s what you really mean?
Today P&G plummeted by 25% before recovering to “just” a 2+% drop. 25% is dramatic, but it doesn’t seem like a very animated reaction from all those other P&G stockholders who just watched some fat cat insider run onto the trading floor with his hair on fire, selling about 10,000% - 100,000% above the daily average trading volume in a split second, while screamin OMG-run-for-the-hills-this-thing’s-gonna-blow-sky-high.
The fact is that the system has fail safes when there are improper entries.The system just bounces it back.A "b" entry requires multiple repeated entries.
The fact is that the US dollar is royally flucked.
People are selling USDs off instead of running to it for shelter.
They are going for Gold.
Obama's Fault.( or is it a "b" instead of an "m"? Buahahahahahahahahahaha!)
The article is more than just worded wrong. It’s got the sweet sweet smell of fresh steaming BS all over it.
$16B is almost 10% of P&G’s entire market cap.
16B shares is actually (correction from my previous post) 500%+ of their outstanding shares.
Someone sold 500% of P&G in a split second? Nice! How do I get in on that racket?
Omaba’s fault. :>)
This is utter horse$hit...for all of the reason stated here
AND
because the market tanked BEFORE P&G did.
Yes, that’s right. The market tanked BEFORE P&G.
Check out the chart at the bottom of this post: http://economicedge.blogspot.com/2010/05/market-crash-562010.html
I have my tin-foil hat on as I write.
I think this was manipulation by leftists to provide “cover” for further take over of Wall Street—including 401Ks.
Here it is for the linkophobes out there. S&P futures on the left chart, plunging headlong like lemmings at 14:40; PG shares on the right, pluging ever headlonger like lemming-chasers at 14:47+. 
Hey, maybe someone at Citi accidentally sold 10% of the entire US economy!
Depends. He may have been working through a proprietary program.
I’m skeptical of this whole claim that there was “a fat finger trade”, though. Either there was a lot more to it than that, or clear information is being deliberately withheld by many parties (including all the regulatory agencies, the NYSE, and the institution where the trade originated).
If there was actually a single trade made for 16 billion S&P 500 futures contracts (which is the rumor going around the street), it would take regulators under a minute to locate it and identify the source. The NYSE is saying there were “a number of erroneous trades” during the critical period, though not saying whether they all originated in response to one trade that set the domino chain rolling.
If a major institution with direct access to the markets has a system that wouldn’t block a single trade for 16 billion of ANYTHING, it’s going to have some major, major splainin to do to regulators. And it might as well just settle out of court with the millions of parties who lost money as a result of this, because there’s certainly no excuse for a system that would allow a trade like that to be made erroneously.
PG also traded a total of 28M shares all day, for a grand total of $1.3B - $1.5B value changing hands - including all day up to 14:45, the plunge and return between 14:45 an 14:55, and the leveling off at the end of trading.
Nothing anywhere close to a single $6B trade, or $16B trade, or 6B share trade, or 16B share trade.
Well, I don’t know anything about trader errors, but this downturn in the market began on the very same day that the sun roared back to life, from zero to 77 today. I hope the sun settles down.
Oh, and look for milder winter in 2012.
Which explains the other report that NASDAQ is cancelling trades made during this time period.
My thoughts exactly. I will guarantee you when this settles he will have made another billion or two, and the Obama Regime will move to nationalize our 401Ks in the name of protecting Americans from the irrationality of the stock market.
I don’t believe this either. Another smelly bucket of political slop
Now that’s just funny.
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