ouch, dow still dropping

-720 now

-735

-748

 

Damn skippy this 'collapse' is funny!

 

no doubt, thanks Kev
that was sarcasm dumbass. so explain to me how this collapse is so damn funny?

 

DOW -777
Nasdaq -200
NYSE -683

Oil -11 @95.xx

 

I think Morgan Stanley might be next "bank" to go soon in the coming weeks

 

Because as of right now - this is not a 'collapse', these are companies folding on themselves because of unethical lending practices and jumping on the toxic mortgage bandwagon.

I have no sympathy for investors who fronted the lending for them; due either to ignorance or sheer greed.

And I keep saying 'collapse' because there are still PLENTY of firms willing to lend out, commodities are almost unmoved by the credit smash, and aside from whats going on in the UK with 2 of their mortgage companies and insurance firms - overseas stocks are fine.

Still plenty of calm waters if you know where to look.

 

i've lost track, but there were rumblings at the middle of summer that there were about 5 MAJOR banks that were highly probable to fail by the end of the year. no stipulation was given as to whether these were commercial or retail banks, but i'm pretty sure most had Lehman and Wachovia on their chopping blocks. i don't know if Goldman's massive restructuring is something that could have it thrown over into the dead pool too, but, certainly, their change of focus wasn't an overnight strategy.

 

yay for oil

 

both morgan stanley and goldman sachs were getting squeezed by the short sellers. They're the only best of breed investment banks (well not anymore since they're converting to traditional banks) left standing after merril lynch, lehman, and bear stearns fell. They both had to turn to the Fed's help by turning into traditional banks (since Fed doesn't lend to anybody other than banks) to stop from getting pummeled like their competitors into bankruptcy.

 

w00t we can all buy blue chips when we hit bottom and then migrate in 10 years to rennlist

 

the way things are going, you'd be better off going blue light than blue chips and sinking your dough into Wal Mart. if this keeps up, we're all gonna be sporting Wranglers and gear from the Jaclyn Smith Collection. lol

but, Turn, you don't think the fatcats at Merril, Goldman, et al were in strategic planning before the meltdown? (not being critical....curious to hear your opinion)

i'm not in the industry, but from what i gather, there has been quite a bit of stirring in the i-banks camps for the last couple of years. even folks way down the food chain were picking up enough to start planning their next moves. apparently, the buzz reached all the way across the globe to the int'l offices too.

 

weeeeeeeeeeeeeeeeeeeeeeeeeeeeee free fall

 

Cause we freeeeeeee!
Freeeee faaaallllllllinnnnn!

 

oh my thats good !!!!
submit that to teh nightly news and see if they will play that in the backround


i heard that tom petty song last night

 

Each investment bank had their share of subprime related losses, it just happened that Morgan Stanley and Goldman Sachs weren't as heavily invested into them as much as Bear Stearns, Lehman, and Merrill.

But as rumors were floating around, the hedge funds and naked short sellers decided to capitalize on those rumors, whether true or not, and one by one started slamming each of their stocks. Eventually their stocks were so low that they had no choice but to collapse or sell themselves. It wasn't just the investment banks as every financial stock was getting dragged down by short sellers. The strong banks like Bank of America, Jp Morgan, and Wells Fargo all had their stocks down significantly. BOFA's shares plunged to $15 a share a couple months back.

When those 3 investment banks went down, Morgan and Goldman were still standing. They were still hurting, but like I said, they weren't as heavily invested in subprime as the others. I don't follow Morgan Stanley but Goldman Sachs posted good numbers for several months (and was considered best of breed by many analysts) until about a month ago they posted a loss. Their stock dropped from $170 a share to $108, and would still be declining had the sec not implement the "no naked short selling rule" and the 2 investment banks asked the Fed for help by turning into a traditional bank. And having Warren Buffet's name as an investor in your stock certainly doesn't hurt either.