Bull Market officially over!! Year heading negative.

[Zan15]

Oh one more question: "overnight loans" - so at say 6pm in the evening, a company needs cash, takes out a loan, and then pays it back at 6am the next morning? What are these generally used for?

Prior to this shit storm it was generally used to fund operations and pay quarterly taxes to the IRS.

Some businesses will have to pay hundreds of millions all at once to the IRS each quarter and they use short term REPO to make that payment.


A lot of its just funding shifts by the financial markets to send the money where its needed

the next biggest bucked is, it allows huge entities to make a quick buck overnight for cash they have on hand instead of making ZERO.

so a huge 100 billion dollar mutual fund can take the 20 billion they have on hand in cash they are not ready to invest in the market and just loan it for a few hours and collect interest.

1 billion dollars loaned for .02% interest is still a bunch of green backs. 200k greenbacks, I think.. quick head math....

[Shadowferal]

13.04%...boom!

[Zan15]

Dow might trip the 13% circuit breaker.

It just did

13.04%...boom!

Last 30 minutes have different rules



Level 1 or 2 circuit breakers halt trading on all exchanges for 15 minutes, unless they are triggered at or after 3:25 PM, in which case trading is allowed to continue. Level 3 circuit breakers halt trading for the remainder of the trading day (9:30 AM to 4:00 PM).


7%, 13%, and 20%.


it wont stop at 13...

next stop after 3:30 is 20%

[Zan15]

Down 12.56% currently -- Isn't the 2nd circuit breaker at 13%?

Dow Down 3000 points -- 13.06% down 2nd breaker hit.

3:35-4:00 its only level 3, or -20%

- - - Updated - - -

Dow might trip the 13% circuit breaker.

Edit- it tripped it...
Nasdaq isn't far behind.

no breaker after 3:35 till 20%

[Zaydin]

Wow. Holy shit.

20,186.48
-2,999.14 -12.94%

Wonder if I can get today autographed by Trump.

It barely avoided closing just over a 3000 point loss. It was actually just over a -3000 point loss just a minute or two before closing but something bounced it back slightly at the last second.

[Zan15]

1987 record will never be broken again....well because....its not allowed too thanks to new rules and breakers.
The markets technically will close for the day before it gets near that drop.
Same with 1929.
He could technically get 2nd place though and miss first by 2.61%.



So technically Trump will hold the Post 1987 record. He already does.



1 1987-10-19 −22.61
2 1929-10-28 −12.82
3 1929-10-29 −11.73
4 2020-03-12 −9.99

Welp looks like unofficial results is now trump owns the 2nd worst % drop ever...with the inability of anyone ever taking over 1st place....

[Captain N]

3:35-4:00 its only level 3, or -20%

Thanks for the clarification.

Im not sure who this guy is but it appears we got very close to the worst single drop day in 1929 today.

https://twitter.com/brianklaas/statu...43286803005445

[Zan15]

Thanks for the clarification.

Im not sure who this guy is but it appears we got very close to the worst single drop day in 1929 today.

https://twitter.com/brianklaas/statu...43286803005445

Ya I posted above. trump now owns #2 which includes all 1929 drops.

can't beat #1 because of the 20% automatic close of markets for the day.... 1987 was 22.61%

[Belize]

Almost 3k loss.

Wonder is that one will get signed and sent out?

[Rasulis]

Welp looks like unofficial results is now trump owns the 2nd worst % drop ever...with the inability of anyone ever taking over 1st place....

Trump does not understand that the problem right now is not monetary. By lowering interest rates and quantitative easing purchase the Fed has made obtaining capital cheaper. The problem here is that capital was already inexpensive and abundant prior to COVID-19 disrupting the supply chains. Even if the Fed is successful in getting businesses to borrow cheaply and produce additional product, lower rates do nothing to calm consumer fears. In other words, it doesn't address the actual underlying problem of why consumers aren't buying and investors are selling, which is a combination of fear, uncertainty, or perhaps that they're quarantined or unable to work due to the spread of the virus in or near their community. The majority of people does not have any confidence in the ability of the current administration to manage both the COVID-19 and the oil war. Obviously the stock market doesn’t.

[Zan15]

So fucking pissed at myself for not gambling a few thousand on the market short index funds....about 6 trading days ago, I talked myself any my brother out of it.....

its like gambling on roulette.


he's going to kill me

[Sorshen]

Hope the dems will print t-shirts and posters with this (signature included)

[Zan15]

Trump does not understand that the problem right now is not monetary. By lowering interest rates and quantitative easing purchase the Fed has made obtaining capital cheaper. The problem here is that capital was already inexpensive and abundant prior to COVID-19 disrupting the supply chains. Even if the Fed is successful in getting businesses to borrow cheaply and produce additional product, lower rates do nothing to calm consumer fears. In other words, it doesn't address the actual underlying problem of why consumers aren't buying and investors are selling, which is a combination of fear, uncertainty, or perhaps that they're quarantined or unable to work due to the spread of the virus in or near their community. The majority of people does not have any confidence in the ability of the current administration to manage both the COVID-19 and the oil war. Obviously the stock market doesn’t.

Agreed because all that "free" funding is not going to make corporations and small businesses keep employees on the books when they can layoff and furlough them and save way more money than a "free" loan would save them

The amount of billions they would save weekly from just not paying health insurance is tremendous savings to pass up.

Bars, restaurants, etc etc are not going to all of a sudden take loans to pay employees. They are going to take loans to pay shit that would put them out of business like Rent, taxes, power company...etc etc.

- - - Updated - - -

Hope the dems will print t-shirts and posters with this (signature included)

Dems better be careful they are a huge part of this problem for caving on the first "stimulus plan" to the republicans.


They are about 40% to blame for the stock market being so negatively reactive to the govt movements so far.

[Zaydin]

Hope the dems will print t-shirts and posters with this (signature included)

Do you think Lou Dobbs will want an autographed copy of todays results?

[Omega10]

Welp looks like unofficial results is now trump owns the 2nd worst % drop ever...with the inability of anyone ever taking over 1st place....

I have not digested this yet. Today's drop was in all ways worse than the 1929 drops. At least any single day. Today is the day when it just seems real.

And there is reason to believe that it will get worse, possibly much worse, before it bottoms out.

I see the point of 0% interest rates. Companies won't be able to pay their principle, much less any interest. We need these types of policies for non-millionaire people as well!

[Captain N]

Bars, restaurants, etc etc are not going to all of a sudden take loans to pay employees. They are going to take loans to pay shit that would put them out of business like Rent, taxes, power company...etc etc.

And this right here is why I have issues with folks wailing about the impacts on small business during times like this. With these loans they're going to do the same thing that a larger corporation would do. Use the funds to keep things going and improve profits at the expense of their employees. The US and its consistent support of exploitative labor practices never ceases to amaze and disgust me.

[Thepersona]

Ok, here we go (made by me, use it as you wish):

[cubby]

Welp looks like unofficial results is now trump owns the 2nd worst % drop ever...with the inability of anyone ever taking over 1st place....

I wonder if this might cause the GOP to consider the 25th....

[Omega10]

Hope the dems will print t-shirts and posters with this (signature included)

They can, but it's not like dems are blameless. Trump's autographed crap was just that - crap. This would be much much worse.

- - - Updated - - -

I wonder if this might cause the GOP to consider the 25th....

Well, I continue to think that their version of the 25th will be to nominate Romney instead of Trump. The odds of Trump being President next February seem to be about zero.

[Breccia]

Now is a good time to reinvest if you have any extra laying around. That's for sure.

This looks familiar. I think I've seen it before....

Seems like a great time to buy.

Oh, right. Here. This was Thursday at 9. The market did rise the next day, this is true.

But we're down three fucking thousand today -- eating the record-breaking gains, and then enough to make the top 10 worst drops list. No, really. So if you did buy then, you needed to also sell, quickly.

And the "good time to reinvest" was 1,000 points ago, too.