Global economic crisis

[Stephanie]

There are some that are trying to take advantage of fire sale prices, which is bringing the DOW up. I think we're also seeing people perhaps moving their IRA's and 401K's to cash (just an opinion) which then wipes out any gains made. There's a lot of fear out there and though we've experienced "corrections" in the market before, this is a totally different animal. This time we're talking credit tightening, people buying only essentials, loss of over 700k jobs, bank and insurance company failures and not just in the US but world-wide, etc. Fear is what is driving the ups and downs of the markets. The longer this goes on, the more afraid people will become. This is almost a panic.

I'm glad that it is the weekend. Hopefully, cooler heads will prevail come Monday.

[george_r_1961]

There are some that are trying to take advantage of fire sale prices, which is bringing the DOW up. I think we're also seeing people perhaps moving their IRA's and 401K's to cash (just an opinion) which then wipes out any gains made. There's a lot of fear out there and though we've experienced "corrections" in the market before, this is a totally different animal. This time we're talking credit tightening, people buying only essentials, loss of over 700k jobs, bank and insurance company failures and not just in the US but world-wide, etc. Fear is what is driving the ups and downs of the markets. The longer this goes on, the more afraid people will become. This is almost a panic.

I'm glad that it is the weekend. Hopefully, cooler heads will prevail come Monday.

I was actually hoping Monday would be a holiday on Wall Street since it is a Federal Holiday. A three day breather would have been nice.

[Stephanie]

Yeah, an extra day would've helped.

Also, I forgot to mention that there are automatic sell off or buy triggers in the system when the the market goes haywire. I think that it's a mixture of good or bad for the market, but that's probably another big reason why we were seeing the pendulum swinging so far back and forth.

[somethingfunny]

DJIA currently up 592 points.

[Brent]

DJIA currently up 592 points.

Up 613 now and at 9,059!!!!! Biggest one-day point gain ever(though an hour still to go).

[HURAKAN]

I heard in the news this morning that this surge could be expected as investors go "bargain hunting," and not a real indication of the near future.

[vbhoutex]

Up 770 and rising. Very close to closing.

[Brent]

WOW.

DOW
9263.28
812.09
+9.61%
NASDAQ
1819.91
170.40
+10.33%
S&P 500
990.26
91.04
+10.12%

Bye-bye record:

Largest daily point gains
Rank ↓ Date ↓ Close ↓ Net Change ↓ % Change ↓
1 &2000-03-16 10,630.60 +499.19 +4.93

http://en.wikipedia.org/wiki/List_of_la ... al_Average

[RL3AO]

Looks like we hit the bottom on Friday.

[Brent]

DOW
9416.28
965.09
+11.42%
NASDAQ
1835.7
186.19
+11.29%
S&P 500
1006.93
107.71
+11.98%

WOW.

[RL3AO]

Not surprised. People were just waiting for the bottom. Then they got in there and bought a bunch of cheap stocks.

[Cyclenall]

An incredible gain today. For a minute there I was wondering if it would hit 1000+!

[JonathanBelles]

It almost has to go down (or not as much up) tomorrow, but from there it should be back up.

[therock1811]

Today was the second biggest point swing since 1987 by the DJ Industrial Average, with a 965.81 point swing intra-day. This is second only to...last Friday, in which the Dow swung from a high of 8901.28, to a low of 7882.51 (an intra-day change of 1018.77).

[Stephanie]

There's still going to be swings. I wouldn't be surprised if we saw a loss tomorrow and then several more weeks of up and down days as the market levels off.

I do hope that this is signaling that we are close to the bottom.

[gtalum]

It could also be a "sucker's rally" or "dead cat bounce". I wouldn't read too much into it yet.

[therock1811]

It could also be a "sucker's rally" or "dead cat bounce". I wouldn't read too much into it yet.

I know what that is, but maybe it should be explained...

A "dead cat bounce" is a rally, followed by more declines. It comes from the thought that "even a dead cat will bounce if dropped far enough".

[Brent]

DOW
9209.04
-178.57
-1.9%
NASDAQ
1777.97
-66.28
-3.59%
S&P 500
985.83
-17.52
-1.75%

[Ed Mahmoud]

Based on technical analysis, based on some obscure Italian mathematician with a series based on adding the previous two numbers, 1,1,2,3,5,8,13,21,34,55..., where beyond the fourth member of the series the ratio converges between the two numbers adjacent near 0.618, that the DJIA and other major indices follow, this coming anniversary of Black Tuesday will see a blood bath on Wall Street, and stocks will take at least five years to recover to pre-crash levels. He sees a potential floor approaching 4600 for the DJIA. 400 for the S&P


Based on GE and Walmart having to pay a couple of points over LIBOR and collateralize their overnight and short term loans, and the size of the bailout and budget deficit, the federal government will crash, be unable to sell new debt, unless they collateralize government notes with a fixed quantity of Ft Knox gold.



No idea if that is correct or not, but that is what my boss thinks. He is out of the market completely, except for gold mining shares. He was about a $50,000 a year engineer for an oil company in West Texas 11 years ago, he is worth over $15 million now, so he may know what he is talking about.

[Brent]

DOW
8870.38
-440.61
-4.73%
NASDAQ
1694.71
-84.30
-4.74%
S&P 500
942.45
-55.56
-5.57%