Wednesday, October 15, 2008

What if the Market Crashed and No One Noticed?

Holy Crash, Batman!

Wow, today was the single biggest percentage drop in the market since 1987 and no one other than the sock puppets on CNBC seemed to notice.
Down 8% on the Dow and Nasdaq and 9% on the S&P. The Nasdaq is down about 17% since YESTERDAY morning.
The stunning fact to me is that this isn't the lead story tonight on any of the major websites. Yesterday, I wrote about the violent swing in the market that wasn't going to get picked up by the major media outlets.
The technicians bought what they thought was the bottom on Friday and now that we're spiralling downward quickly, they can't unload positions quickly enough. This market is dangerous for even the most skilled professionals. I'm getting the sense that even the best investors are starting to get scared of this market.
It's more of the same right now - Hedge Fund and Mutual Fund liquidation, earnings deterioration, foreign currency and credit markets are frozen.
I wish I was wrong on this issue, but it looks like more of the same (until the markets go up another 1,000 points).
Cheers!

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