Once again the pundits had to be trotted out on all the major business media networks to reassure the sheep that "everything is fine and don't worry". After all, it was only the NYSE that crashed today. Its not like it was anything important like ESPN going down. So right away lets dismiss that "glitch" right here and now. Let's get back to what happened JUST BEFORE the "glitch".
I was on CNBC Asia last night when they were trying to get the China markets opened and it was absolute chaos. China announced several market interventions just prior to their opening as the futures were down over 10%. They included taking out 50% of the individual stocks from trading AT ALL. They also precluded all major shareholders and officers of ALL stocks from selling their shares for an entire year. Then they announced they would intervene in the market to buy shares.........and it still tanked.....obviously not as bad as it would have but the fact it was down 5% after all of that bodes poorly for this market. Its toast. This is called panic and margin calls and pooo. You don't get that kind of damage repaired in a few weeks or months.
This unnerved traders here and selling couldn't be contained without intervention from heaven. So ouila.....we had a glitch. It formed a convenient "bottleneck" for the other exchanges and the market was only down a couple hundred points on the DOW. Big deal. Traders will be trying to tip toe back into the market tomorrow just like nothing happened. Pundits will reassure you that "all is fine" and that Big Daddy has your back. Enjoy your summer traders. You deserve everything you're gonna get. But you might wanna pray for your country, its freedoms (whats left of them), and you family's future. gl