Category: Financial Crash
The analysis published under this category are as follows.
Thursday, August 16, 2007
Panic Selling As Stock Markets Crash Towards Bull Market Support Levels / Stock-Markets / Financial Crash
By: Marty_Chenard
Noon Time Update: We will look at seven charts this Noon time, based on where a number of indexes were at the close yesterday and what the VIX was telling us (last chart).
This first chart is of the DJI and its 200 day moving average. At the close yesterday, it was holding above it, but today it dropped below that support. The DJI is the index that should be the strongest in this down turn, but this morning it dropped below the 200 day moving average. Panic selling levels are high now, and the panic has its own momentum. It will be important to hold the 200 day moving average in the next few days.
Read full article... Read full article...
Thursday, August 16, 2007
2007 Stock Market Crash Update II / Stock-Markets / Financial Crash
By: Greg_Silberman
In late July we published a piece called 2007 crash market stock update wherein we described the inter-market picture as shaping up to be eerily similar to that of the 1987 stock market crash.
In summary: We noted that the stock market had been ignoring a falling bond market for much of 2007 in much the same way as the stock market ignored a falling bond market back in 1987. We further explained that it was not until the Bond market broke below its May lows in September 1987 that all hell broke loose in the stock market and ended up in Black Monday, a one day drop of 22% in the S&P500.
Read full article... Read full article...
Thursday, August 16, 2007
Stock Market Panic In Progress / Stock-Markets / Financial Crash
By: Captain_Hook
The market is telling officialdom, and specifically Bernanke, that like in the lead up to the 1929 stock market crash (which was 90%), the true health of the economy is not being interpreted correctly, and that official policy is not sufficiently accommodative. As alluded to during the course of the week, this misread and mishandling of the situation has a great deal to do with the stubborn resilience of Chinese stocks , commodities , and freight rates , which are all barometers of the ‘global economy'.This is why the Fed is now suggesting that only a ‘ calamity ' will cause them to soften official policy, because they must get prices under control soon if traditional Presidential Cycle policy considerations are to be managed successfully. What's more, like Greenspan, Bernanke is a gradualist, but he is a rearview mirror gradualist, meaning he actually manages official policy based on history. Again, like the '29 experience, this is causing a misread of measures currently needed to stave off a real deflation risk, which is why prices are falling in spite of supportive price constraints . In a nutshell, people are panicking, and for this reason Monday could be very interesting.Read full article... Read full article...
Monday, August 13, 2007
Global Financial System in Jeopardy! / Stock-Markets / Financial Crash
By: Money_and_Markets
Martin Weiss writes : For the first time since 9-11, central banks around the world are pouring massive amounts of fresh new cash into their markets.
On Thursday alone, Japan pumped in $8.4 billion … Australia injected $4.2 billion … the U.S. pumped in $24 billion … and the European Central Bank flooded its banking system with an unprecedented $130 billion! And on Friday, they did it again , opening the money floodgates in similar quantities.
Why?
Read full article... Read full article...
Sunday, August 12, 2007
Stock and Financial Market Crash Alert #3! Your Last Chance to Act! / Stock-Markets / Financial Crash
By: Money_and_Markets
Martin Weiss writes: Two years ago, we began warning you that the housing market was headed for a massive crash and we urged you to dump mortgage lenders, home builders, and other real estate stocks.
If you had listened then, you would have avoided major losses as our warning became reality.
Read full article... Read full article...
Friday, August 10, 2007
Surprises Abound - Central Banks Liquidity Flood Fails to Prevent Stock Market Plunge / Stock-Markets / Financial Crash
By: Andy_Sutton
Just as everyone thought things were getting back to normal. Just as everyone thought that all the bad and ugly stuff had receded into seldom-accessed portions of the subconscious. Just as the bulls were starting to get a little of that swagger back and talk of new records filled the airwaves... BANG! The markets were once again slapped with another dose of reality. The really interesting thing about today was not only what didn't happen, but what DID happen.Read full article... Read full article...
Friday, August 10, 2007
Central Banks Bailout of Financial Markets Backfires / Stock-Markets / Financial Crash
By: Brady_Willett
The central bank support that Cramer was crying for last week arrived, and it didn't work
A funny thing happened during today's central bank bailout attempt: the markets plunged. Is it just me, or when central bankers unite and throw money at a problem isn't that problem supposed to go away?
Read full article... Read full article...
Monday, August 06, 2007
Subprime Housing Market Financial Sector Crash and Jim Cramer's Sage Rage / Stock-Markets / Financial Crash
By: Brady_Willett
In what is quickly becoming one of his most popular television tirades to date (which is saying a lot), Jim Cramer completely lost it last Friday during a discussion on CNBC. Coined a "passionate plea to Federal Reserve Chairman Ben Bernanke to consider cutting interest rates" , the incensed Cramer said: "It is no time to be an academic... open the darn Fed window. He [Bernanke] has no idea how bad it is out there. He has no idea! He has no idea! I have talked to the heads of almost everyone single one of these firms in the last 72-hours and he has no idea what its like out there. None!!!...
Read full article... Read full article...
Monday, August 06, 2007
Revenge of Frankenstein Finance / Stock-Markets / Financial Crash
By: Michael_J_Panzner
A chimerical force has been rampaging through global markets in recent months, wreaking widespread havoc. Cobbled together from myriad agreements, assumptions, and transactions by academics, financiers, and marketers, this labyrinthine creation was once seen as an unmitigated success of new age financial alchemy.
But now, with changing economic and financial conditions exposing the derivatives-securitization monster to the harsh light of day, the nightmare of Frankenstein finance is coming home to roost.
Read full article... Read full article...
Monday, August 06, 2007
United States Day of Reckoning! / Stock-Markets / Financial Crash
By: Money_and_Markets
Last week, I sent you a crash alert on Monday and then sent it to you again on Saturday. If you've seen it and you've taken the five protective steps I recommended, you should be in good shape. If not, before you start on this morning's message, I think you should go back and read my crash alert now .
— Martin Weiss
I was born in New York but raised in Brazil.
Elisabeth was born in Brazil but has spent most of her adult life in the U.S.
Read full article... Read full article...
Saturday, August 04, 2007
Stock Market Crash Alert: What to Do to Protect Yourselves / Stock-Markets / Financial Crash
By: Money_and_Markets
Martin Weiss writes: With the Dow down over 280 points yesterday and the dollar sinking fast, I just wanted to make absolutely sure you didn't miss my alert of this past Monday. So here it is again. All our signals are equally valid; all our instructions, equally urgent.
With last week delivering the worst stock market rout in nearly five years, millions of investors are in a state of paralysis.
They're finally beginning to wake up to the enormity of the meltdown in the housing market.
Read full article... Read full article...
Friday, August 03, 2007
A Few Thoughts on the Recent Credit Crisis - Half of All Hedge Funds Gone? / Stock-Markets / Financial Crash
By: John_Mauldin
In this issue:
Inflation is Baked into the CPI Numbers
The Mortgage Pig in the Python
Housing Starts Look to Stop
A Few Thoughts on the Recent Credit Crisis
Half of All Hedge Funds Gone?
Golf, Weddings, and Europe
With the economy increasingly looking like it will slow down materially in the last half of the year, there is a drum beat for the Federal Reserve to cut rates. But how likely is a rate cut this year? We take a very different look at inflation to see if there is any room for the Fed to give a boost to the economy. We look over our shoulder at Japan and the yen carry trade and ask a heretical question: does the Fed cutting rates make any difference?
Friday, August 03, 2007
Why Financial Stocks Still Look Too Risky ... / Stock-Markets / Financial Crash
By: Money_and_Markets
Mike Larson writes: I don't want to pull any punches: This is the worst environment for banks, mortgage lenders, and the general U.S. financial industry that I've seen since 1998!
That's when gun-slinging hedge fund Long Term Capital Management bet billions of dollars in bond markets all over the world.
Everything went swimmingly … until Russia defaulted on its outstanding debts. That spooked global bond investors, prompting massive "flight to quality" buying in U.S. Treasuries. LTCM's bets went haywire and more than $4 billion in losses piled up.
Read full article... Read full article...
Thursday, August 02, 2007
Hedge Fund Failures is Fire in the Projection Room / Interest-Rates / Financial Crash
By: Tim_Iacono
Many people in high places continue to assert that problems with hedge funds and subprime lending do not pose a systemic risk to the financial system.
If these important people did think the entire financial system was threatened, do you think they would tell us?
Read full article... Read full article...
Monday, July 30, 2007
The Stock Market Crash of 2007 / Stock-Markets / Financial Crash
By: Greg_Silberman
They say history doesn't repeat it merely rhymes. If that's the case, we may be setting up for a 2007 market crash. Take a look at this 1987 stock market crash picture:
Read full article... Read full article...
Monday, July 30, 2007
Stock Market Crash Alert: Five Steps to Take Immediately ... / Stock-Markets / Financial Crash
By: Money_and_Markets
Martin Weiss writes: With last week delivering the worst stock market rout in nearly five years, millions of investors are in a state of paralysis.
They're finally beginning to wake up to the enormity of the meltdown in the housing market.
They're finally beginning see how it's impacting their stocks.
Read full article... Read full article...
Friday, July 27, 2007
Flash Alert: Wall Street Financial Meltdown! / Stock-Markets / Financial Crash
By: Money_and_Markets
Martin Weiss writes: Wall Street is suffering a meltdown, and in a moment I'll tell you what to do about it.
The big picture: Anyone who thinks the meltdown is limited to a decline in stock prices should wake up and smell the coffee:
- The big money that Wall Street was pouring into mortgages is drying up …
- The big equity deals that were pouring still more money into the economy are bombing …
- The U.S. economy, hooked on all that Wall Street money like a dope addict, is about to suffer one heck of a hangover …
- The dollar is continuing to plunge virtually nonstop, and …
- The worst is yet to come! But …
Friday, July 27, 2007
What's Behind the Dow's Swan Dive ... / Stock-Markets / Financial Crash
By: Money_and_Markets
Mike Larson writes : Let's not mince words. This week has been simply awful for the Dow. The Industrials plunged 226 points on Tuesday alone, put in an anemic bounce Wednesday, then sank another 311 yesterday. The carnage was even worse in several sectors I've flagged for months — home builders, financials, commercial REITs and more.
What's going on? What's behind this swan dive? Well, investors can be fickle:
Read full article... Read full article...
Thursday, July 26, 2007
What To Do As Stocks Go BUST! / Stock-Markets / Financial Crash
By: Brady_Willett
Stock prices plunging around the world today, some value investor tips come to mind.
1) Do not short the market . If you are thinking of going short because stocks must fall further, think again. Not only have bears that have waited for a sharp fall before entering the market short since 2003 had their heads handed to them, but as volatility returns to the marketplace put option premiums quickly shoot-up. In other words, trying to time the plunge can be dangerous, especially right after a sharp sell off.
Read full article... Read full article...
Thursday, July 26, 2007
Deja' vu, Spike Rally in Japanese Yen Spooks Global Financial Markets / Stock-Markets / Financial Crash
By: Gary_Dorsch
Perhaps the most important market in the world today is the vast network of foreign currencies, where total trading volume, including derivatives and futures, average around $2.9 trillion a day. This is ten times the size of the combined daily turnover on all the world's equity markets. And as world's economies have become increasingly integrated, so have the foreign exchange and global capital markets.
And the size of the foreign exchange market is mushrooming each year. FX trading increased by 38% between April 2005 and April 2006 and has more than doubled since 2001. That's not surprising, since 18 of the top-20 central banks around the world are tolerating double-digit growth of their money supply. Therefore, fluctuations in the foreign exchange market are bound to become more violent.
Read full article... Read full article...