I remember the 87 crash - (I had just floated a cash box in July 87 and was still sitting on cash fortunately) By late 87 there was similar sort of stuff we’re seeing now - was about half-way though the "fear"cycle - lots of bad news stories - lots of bank losses, corporate losses - lots of property losses - markets around the world were down 15-20% from the peak - dollar was falling - pessimists everywhere - everybody was nervous. Then on a saturday afternoom (i think) in late October Paul Volcker (who was about to be replaced by Greenspan) made a comment that the Fed would not take any further action to support the dollar against the Deutschmark. Well that was it - the statement hit the newswires around the world - everybody panicced - but the markets were closed so the panic just got worse over the weekend. That was the catalyst - that triggered the BIG one - when the markets opened around the world everybody dumped everything - it was “Black Monday” - markets collapsed around the world - cleaned out whatever hope there was left of a bottom or a bounce - triggered all remaining margin calls - brokers and investors jumped out of windows - the big clean-out. Then a couple of months later, the slow climb out of the abyss began. This time around the big stories - Bear, Freddie/Fannie, Merrill, Lehman, oil, inflation, Iraq, etc - have just been blips on the screen - So I’m just wondering - what will be the trigger for the BIG clean-out this time? It’s coming but I don’t know what it will be - Any takers?
It should have been the collapse of AIG. That would have cleaned out everything in a hurry.
I’m thinking one more black swan is all it will take. There will be a dead accountant found at big company (MSFT, WMT, etc) with bogus books and the bottom really will fall out.
Agreed. Or some Finance CFO will get tossed out of a moving aircraft or helicopter by Hank Paulson while Bernake unloads a magnum into the guy as he’s falling. Then, you’ll see millions spent on a congressional hearing aimed at finding out…the cause of death. Willy
if some one will pull my pinkie i a can let out a big one. Very toxic too
USA gets downgraded.
GE acquires Google and then Vonage swallows both of them.
Watch out for GE…
cubs win world series
pamela anderson and her two big ones makes a comeback on baywatch
Leafs win the Cup. Willy
GE? Maybe GS too. Abort Fed. This may be a land of freedom, yet not a land of free. Wall St. is caught up in the super-complex cocoon they weaved for themselves!
null&nuller Wrote: ------------------------------------------------------- > I remember the 87 crash - (I had just floated a > cash box in July 87 and was still sitting on cash > fortunately) > By late 87 there was similar sort of stuff we’re > seeing now - was about half-way though the > "fear"cycle - lots of bad news stories - lots of > bank losses, corporate losses - lots of property > losses - markets around the world were down 15-20% > from the peak - dollar was falling - pessimists > everywhere - everybody was nervous. > > Then on a saturday afternoom (i think) in late > October Paul Volcker (who was about to be replaced > by Greenspan) made a comment that the Fed would > not take any further action to support the dollar > against the Deutschmark. > Well that was it - the statement hit the newswires > around the world - everybody panicced - but the > markets were closed so the panic just got worse > over the weekend. > > That was the catalyst - that triggered the BIG one > - when the markets opened around the world > everybody dumped everything - it was “Black > Monday” - markets collapsed around the world - > cleaned out whatever hope there was left of a > bottom or a bounce - triggered all remaining > margin calls - brokers and investors jumped out of > windows - the big clean-out. Then a couple of > months later, the slow climb out of the abyss > began. > > This time around the big stories - Bear, > Freddie/Fannie, Merrill, Lehman, oil, inflation, > Iraq, etc - have just been blips on the screen - > > So I’m just wondering - what will be the trigger > for the BIG clean-out this time? > It’s coming but I don’t know what it will be - Any > takers? Just to set the history right - It was James Baker (Treasury secretary) who said that on a Sunday morning talk show. Volcker had left office about three months prior and Greenspan was Fed Chairman when the crash happened.