MASSIVE INTERVENTION
July 15th, 2008WARNING: This is not a recommendation to buy, sell or hold any financial instrument.
The Plunge Protection Team (Working Group on Financial Markets) is out in force right now. Yep, that was getting a bit hairy and the PPT stepped in. Everything whipsawed at once. We’re seeing an honest to g0d, by-the-book, fake-out, bullshit crank, whipsaw of a short squeeze on equities and the dollar is wheasing its way back up a bit, too. Oil gapped down $10, cleanly decapitating new longs. Look for a bunch of glop, slop and chop for the rest of the day.
I don’t see any stories about the PPT yet. Maybe something will show up.
Posted in Economy | Top Of Page
They’re putting those multi-year Afghani-heroin-bumper-crop profits to good use!
These guys are good at doing this, aren’t they? 🙂
On the flip side, imagine if you were part of the WGoFM; your God-given duty is to keep the music playing, calm the markets, and PRESERVE CIVILIZATION. From the standpoint of TPTB, that’s what this is about, right? Maintaining the natural order of things, making sure that the trains and trucks and ships and planes keep running, the grid stays up, and law and order… or at least order prevails.
What would you do, Kevin, if somehow you switched brains with Bernanke or Paulson or one of the cadre of Wall Street chieftains?
And yet the market still closed down for the day! Not for lack of trying (by our buddies), either: it was an epic battle, as evidenced by the intraday SP (or DJIA) chart. It’s “fun” to think about how bad it would have been had not the PPT been fighting so hard to keep it afloat.
Interestingly, the NDX actually closed up, by a hair.
Looking at the SPX, the bull run came during the “dumb money” portion of the day. Nice.
@ anothernut
Indeed, see:
U.S. Faces Global Funding Crisis, Warns Merrill Lynch
https://cryptogon.com/?p=2925
In the meantime, today’s numbers show how furiously busy the PPT has been. Stocks way up and the USDI is back up just above 72.