The market is skyrocketing today

[Pheidippides]

and the news is claiming it's because of the $1 trillion help package for Greece.

Can somebody tell me why it's not instead a "oh, yeah, that whole drop last week? It was a computer glitch!" correction? That seems more likely.

[Surfah]

and the news is claiming it's because of the $1 trillion help package for Greece.

Can somebody tell me why it's not instead a "oh, yeah, that whole drop last week? It was a computer glitch!" correction? That seems more likely.

That's because it tanked last week because of Greece.

BTW, how much of that trillion did the US give? I am positive we threw something into the pot.

[Jacob]

and the news is claiming it's because of the $1 trillion help package for Greece.

Can somebody tell me why it's not instead a "oh, yeah, that whole drop last week? It was a computer glitch!" correction? That seems more likely.

Is it just me, or is our stock market not remotely an efficient market? A stock market is supposed to be the best example of an efficient market, but it seems completely irrational in the short term.

[il Padrino Ute]

That's because it tanked last week because of Greece.

BTW, how much of that trillion did the US give? I am positive we threw something into the pot.

Don't know, but my guess would be the largest of the donated funds. That's what the world expects from the USA.

[byu71]

Is it just me, or is our stock market not remotely an efficient market? A stock market is supposed to be the best example of an efficient market, but it seems completely irrational in the short term.

My guess is because this "efficient market" concept was put out there long before whiz kids figured out how to use mathematical models with the market. Long before the emotional public could access their accounts and trade for $8.95 making it easy to trade on emotion instead of reason.

The whole thing with the market collapsing because of Greece just seems bogus to me. It went up for weeks and we knew Greece was in the toilet. Even us dumbbells knew Europe would eventually bail them out.

Look, our tech guy said the market was overbought and ahead of itself at 11,000. It went to 11,200. According to him it was due for a pause. We get our pauses more violently because of all the momentum players.

All I can say to those who got out Thursday and Friday, now whatcha gonna do.

[creekster]

That's because it tanked last week because of Greece.

BTW, how much of that trillion did the US give? I am positive we threw something into the pot.

Indirectly through the IMF portion of the commitment the USA contributed ot the deal.

[Jacob]

My guess is because this "efficient market" concept was put out there long before whiz kids figured out how to use mathematical models with the market. Long before the emotional public could access their accounts and trade for $8.95 making it easy to trade on emotion instead of reason.

The whole thing with the market collapsing because of Greece just seems bogus to me. It went up for weeks and we knew Greece was in the toilet. Even us dumbbells knew Europe would eventually bail them out.

Look, our tech guy said the market was overbought and ahead of itself at 11,000. It went to 11,200. According to him it was due for a pause. We get our pauses more violently because of all the momentum players.

All I can say to those who got out Thursday and Friday, now whatcha gonna do.

I agree with you, except for the part about the general public. Individuals now own such a small % of the market that they don't drive the prices.

[byu71]

I agree with you, except for the part about the general public. Individuals now own such a small % of the market that they don't drive the prices.

I didn't mean to indicate they drive prices on a short term basis, if that is what it sounded like. Although my learned friend Viking thought mutual fund selling is what drove the market down on Thursday. It will be interesting to hear his take on efficient markets and the impact the public has.

I do think the public has a lot to do with driving the market over the long haul though and why over the long haul, the market does become more efficient. Remember, pension and profit sharing plans, 401K's, IRA's, et. al. are the public. It is their jumping on and off the bandwaggon is a contributor to markets overshooting to the upside and downside on a longer term basis, IMHO, just like the traders do on a short term basis.

Note: To stay consistent, I will bet part of the debacle was due to some "speculative hege funds" getting their asses handed to them.

[RobinFinderson]

Question: Computers sold billions of shares of stock the other day, based on pre-entered Stop Loss orders that were triggered by the 'glitch.' Since all of those shares were sold at a loss, and because the glitch meant that the shares would bounce back, probably close to where they were trading before the glitch, is there a reasonable chance that the glitch was triggered intentionally, as a form of high-tech robbery?

[creekster]

Hey genius, what were you down in 2008? Me? single digits. You? So shut up you cheap suited broker.

It's charming and witty repartee such as this that makes you such a beloved figure on the board.

[creekster]

I seriously can't stand the broker community. They only earn money by getting people to buy. And BYU71 is full of shit, generally.

And again.

[creekster]

Good lord, Creekster, is this a surprise? I couldn't care less about what you think of me. Not one bit.

By 'this' do you mean your behavior? Sure.

I always assume that supposedly well-educated people should be able to manage a discussion without resorting to name calling, personal invective and playground taunts unless greatly provoked or with some sort of justification. So even though you have a well-established pattern, I still find it surrpising when I see it again.

Btw, did something I said make you think I thought you cared what I thought? To the contrary, you have demonstrated over and over you are well above caring what other people think. Your error may be that this somehow improives you or makes you superior, but I am certainly not going to argue about that with you.

OTOH, if you really don't care, it makes me wonder why you have to respond to everone one of myposts here.

[creekster]

As Doctorcoug said:

"by the way, knowing this guy for 30+ years, he doesn't care what you guys or anybody else thinks of him."

And Creekster, this isn't your fight.

I'm punching BYU71 in the face, not you, because the prick deserves it.

This is a messageboard and unlike you guys who enjoy riding bikes together, I don't care to meet anyone here in person, with the lone exceptions of SU, Oxcoug and Wuap at any point in time.

IOW, you realize you act poorly and intend to conintue acting poorly not becasue you think there is any good reason to, but simply because you can and becasue youlack enough consideration for others on the baord (with the noted exceptions) to act otherwise. Pretty much what I expected and referenced in my first post.

Btw, that you see this as your 'fight' with BYU71 and your considered and mustered argument is, in effect, "I hate Brokers" and "neener, neener, I am sure [even though you can't be] that I did better in '08 than you did" probably says more about your special place on the board than anythig I could type. Really, it is very impressive. Enjoy your 'fight.'

[creekster]

Look, it's simple. When someone plays nice, even in a debate, i play nice. When someone plays dirty, my gloves come off.

71 is a classic dumbass market participant. When the market goes down, it's the hedge funds' fault. When it goes up, it's the good guys. Those who lost their asses had to have been the hedge funds.

He has no problem in calling out my industry, so let's speak directly, hurtful of your sensitive feelings as it may be

Please keep posting. You are doing a wonderful job making my point.

[creekster]

Perhaps you missed the first time: I'm guilty as charged. Next.

Indeed.