Log in

View Full Version : DOW drop of -998.5 Largest drop since 1987


bluestarkidd
May 6th, 2010, 03:01 PM
http://www.bloomberg.com/apps/news?pid=20601087&sid=a9OVpLMKuaC8

Dow Plunges Most Since 1987 Before Paring Losses; Euro Tumbles
Share Business ExchangeTwitterFacebook| Email | Print | A A A

By Michael P. Regan and Rita Nazareth

May 6 (Bloomberg) -- The Dow Jones Industrial Average posted its biggest intraday loss since the market crash of 1987, the euro slid to a 14-month low and yields on Greek, Spanish and Italian bonds surged on concern European leaders aren’t doing enough to stem the region’s debt crisis. U.S. Treasuries rallied.

“It’s panic selling,” said Burt White, chief investment officer at LPL Financial in Boston, which oversees $379 billion. “There’s concern that the European situation might cool down global growth and freeze the credit markets.”

The Dow lost as much as 998.5 points, or 9.2 percent, before paring its drop to 383.17 points at 3:17 p.m. in New York. The Standard & Poor’s 500 Index fell as much as 8.6 percent, its biggest plunge since December 2008, before trimming its decline to 3.6 percent.


So much for that recovery....ehh...

maestro15
May 6th, 2010, 04:15 PM
Wow. Very interesting! Now should i pull my stocks out before it gets worst, or do you think, it would incline again?

enzenzz
May 6th, 2010, 07:34 PM
They're blaming it on human error but it was already falling beforehand and a 3+% drop with a big volume at the end is still a big deal.

Greece could be the Euro equivalent of Lehman so it's probably best to stay out of the market until this whole mess finds a permanent solution.

But if you have excess cash it would be a good time to buy when the "glitch" occurred or those that are still good companies.

Iron Man
May 6th, 2010, 09:43 PM
Nice! I wonder what chaos it would be in if hit the ground after that fall off the cliff.

Tiberius
May 6th, 2010, 10:03 PM
ROTW :arrow: Daily Chronicle

mrmcdonaldduck
May 7th, 2010, 06:36 AM
i heard some guy typed "billion" instead of "million" and thats what caused this. what a great way to end the recovery...

enzenzz
May 7th, 2010, 09:06 PM
i heard some guy typed "billion" instead of "million" and thats what caused this. what a great way to end the recovery...

i dont think it works that way, if it was an error its more likely caused by a missed decimal point.

Zephyr
May 8th, 2010, 01:52 AM
*facepalm*

Panic selling had a part in the 1929 stock market crash. When people start pulling their money out like that, it's only going to cause the stock market to worsen, which causes a ripple effect worldwide.

bluestarkidd
May 9th, 2010, 06:09 PM
Ep, yea your right, panic was seen when people did a run on the banks starting with indymac. Then later on in 08 with Lehman Bros. A self fulfilling prophecy.

I’ve just got this gut feeling that the entire fraudulent financial system is about to unravel, all the way up to the FED level…

And it’s not gonna be pretty…