SEC still searching for market plunge cause

[MNeagle]

(Reuters) - The top U.S. securities regulator said no single event had been found to explain Thursday's mysterious market plunge but the events were unacceptable and additional safeguards were coming.

U.S. Securities and Exchange Commission Chairman Mary Schapiro said it would take time to pinpoint the cause but reiterated an agreement with major exchanges to strengthen trading curbs in response to large market moves.

In prepared testimony for a congressional hearing later on Tuesday, Schapiro said SEC staff were now on site at all major markets to monitor trading conditions.

"The markets failed many investors on May 6, and I am committed to finding effective solutions in the very near term," she said in written testimony to the House Subcommittee on Capital Markets.

Schapiro said regulators were still sifting through more than 17 million trades in listed equities in the hour beginning at 2 p.m. EDT on May 6, and she cited the growth of trading in multiple markets over the past few years for the complexity of the probe.

But in some preliminary observations, Schapiro sounded skeptical that a large erroneous trade, the so called "fat finger" scenario, had triggered the brief stock rout.

She gave greater weight to theories that a confluence of events were responsible, but had come to no conclusion.

Under heavy pressure from the SEC and the Obama administration, the exchanges have had to reconcile their differences and come up with ways to address their disparate trading systems.

Nasdaq OMX Group Inc said an internal analysis found no system malfunction or errant trade, adding in prepared testimony the lawmakers that it backs adjusting an existing market-wide circuit breaker that halts trading.

NYSE Euronext, in prepared remarks to the panel, said regulators should require all trading venues use a coordinated mechanism to pause trading. CME Group Inc, the world's biggest futures exchange operator, said there needed to be better coordination across futures, securities and options markets.

Backbiting initially broke out among the exchanges as they blamed one another in the hours after the shock trading jolt, but the sniping has since died down as the main market venues propose reforms that they believe they can live with.

Separately, sources said new circuit breakers to halt precipitous drops in individual stocks is "a done deal."

Circuit breakers have emerged as a key solution despite the dearth of answers. While breakers exist for broader market drops, those were not breached on Thursday.

Any new breakers would likely trip when individual stocks fell by a set amount in a set time frame. The source requested anonymity because the discussions between regulators and exchange operators are private.

Nasdaq OMX suggested halting trading for 15 minutes when the Standard & Poor's 500 index drops by 5 percent; for an hour when it drops 10 percent; and for the rest of the trading day when there is a 20 percent drop.

Currently, the breakers are tripped at the 10-percent and 20-percent thresholds.

Both the Dow Jones Industrial Average and S&P never reached the crucial trigger point on May 6. The Dow fell as much as 9.2 percent and the S&P was off as much as 8.6 percent during the latter half of Thursday's trading day.

The SEC hosted a meeting Monday with the heads of major exchanges, and said afterward the parties agreed to a framework that would strengthen circuit breakers and safeguard markets from such chilling drops.

Link to Article (http://www.reuters.com/article/idUSTRE6495TX20100511?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28New s+%2F+US+%2F+Business+News%29)


EDIT: Changed long link to named link to prevent horizontal scrolling. -Gaillo

[FreeEnergy]

MNeagle, this is fitting picture. They "look" in the other direction :)

[MNeagle]

courtesy of the OP link. But good point!!

[Dirty Harry]

Wow...I feel much better knowing the SEC is on top of this.

[sirgonzo420]

Maybe the SEC oughta get their hands outta their pants and get their ass to work!

[Cebu_4_2]

two words "uptick rule"

[gunDriller]

Wow...I feel much better knowing the SEC is on top of this.


me too ! with high-integrity guys like Bernie Madoff running the place ... with his scam within a scam - as detailed @
http://iamthewitness.com/audio/Muhammad.Rafeeq/TFC.SMITH.RAFEEQ.27-03-2010.mp3

the Madoff crime was not a Ponzi scheme. he confessed fraud to obtain a $65 billion bail-out for his Jewish customers - at US taxpayer expense - with NO PROOF of a Ponzi scheme, other than his confession.

would you confess to a crime you didn't do ... if it would raise $65 billion for your family & friends ? (that's enough to buy about 1700 tons of gold)

[mick silver]

all i keeps seeing is how alot of people made alot of money ... i would say look at the big banks but who am i

[mick silver]

http://www.321gold.com/editorials/hoye/hoye051110a.html

[Ash_Williams]

They should just put in regulations to say prices can't fall at all. Done.

[Book]

Wow...I feel much better knowing the SEC is on top of this.


http://www.popculturemadness.com/Entertainment/2007/Images/MrMagoo5.JPG

"SEC still searching for market plunge cause"

They put their top man on it.

:oo-->

[kregener]

SEC still searching for market plunge cause
Like O.J is still looking for the killer...

[Twisted Titan]

"SEC still searching for market plunge cause"




I found them with no sweat.

[1970 Silver Art]

I guess the "fat fingers" excuse did not satisfy the SEC since they are still searching for the cause of the stock market plunge.

Have no fear because they are the SEC and they are here to help us by protecting us from those very evil Wall Street traders. :sarc: :sarc: :sarc: :sarc: :sarc:

[mick silver]

what get me is the gov fine people all the time that done bad things on the internet but they cannot fine out who made the trades on the internet this is just plain bull shit

[EE_]

Believe me you, they know the cause...what SEC is still searching for, is an explanation of the market plunge that wont expose the fraud.

http://www.youtube.com/watch?v=FU0SZfvFitA&feature=related

[CJay8]

This according to EU Times...

http://www.whatdoesitmean.com/pag1.gif



Obama Attack On Corporate Giant P&G Shatters US Stock Market
http://www.eutimes.net/2010/05/obama-attack-on-corporate-giant-pg-shatters-us-stock-market/

An interesting report prepared for Prime Minister Putin by Deputy Minister Tatyana Nesterenko of Russia’s Finance Ministry states that US President Barack Obama yesterday ‘personally ordered’ an attack on America’s fourth largest corporation Proctor & Gamble (P&G) over fears this Global consumer products giant has aligned itself with American Military ‘elements’ set to ‘forcefully oppose’ the ‘socialization’ of their country.

According to this report, this Obama launched attack against Proctor & Gamble originated from the banking giant Citigroup he had previously taken over using $300 Billion of American taxpayer money, and which yesterday initiated a P&G stock trade that not only cut this corporate giants worth in half, it nearly collapsed the entire US stock market in the process.

American propaganda news reports are stating that this disastrous Cititgroup stock trade was ‘mistakenly’ done when one of their traders entered ‘billion’ instead of ‘million’ while processing a sell order for P&G stock, which was immediately noticed by financial news analysts reporting on what has now become the US stock markets biggest intraday point drop in history.

Important to note, this report continues, was that at the same time Obama was attacking P&G’s stock value, he was also assaulting them through the use of his governments Consumer Product Safety Commission, which hours before the attack on P&G’s stock value announced they were launching a probe of the World’s largest household products company over claims it Pampers diapers were harming children, a claim P&G quickly fired back was “completely false”.

P&G

[Note: It bears mentioning that at the same time Obama was attacking P&G, his own government scientists are attacking him. According to the New York Times, the President’s Cancer Panel (called the Mount Everest of the US medical mainstream) yesterday released a devastating “landmark” report warning that “to a disturbing extent, babies are born ‘pre-polluted” due to the number of unregulated and untested chemicals being poured into their bodies. Only a few hundred of the more than 80,000 chemicals in use in the United States have been tested for safety and Obama’s own top scientists further warn Americans to store water in glass or stainless steel containers, or in plastics that don’t contain BPA, which, interestingly enough, P&G had long ago ceased using in its PUR Water Filter System.]

Most interesting to note in this report is its detailing how Proctor & Gamble, who from its humble Cincinnati Ohio beginnings in 1837, became the largest supplier to US Army “Union” Forces during the American Civil War (1861-1865) of soap and candles, and when ‘called upon’ by President Abraham Lincoln to “save their Union” from the ready to invade European powers of Britain and France, helped finance the 1863-1864 Russian Fleet Expedition to North America protecting the United States from British troops poised to invade to retake their former colonies.

[Note: Invading French forces were defeated by Mexican forces in the Battle of Puebla that took place on May 5, 1862 and which the holiday Cinco de Mayo (meaning 5 May) still celebrates today.]

Since the Civil War, this report continues, Proctor & Gamble has remained “inexorably linked” with its United States “consumers” and Military Forces providing a “bulwark of stability” against “any and all” threats to the “American Dream” it epitomizes through its massive advertising budget that dwarfs its nearest rival, US government owned General Motors (GM) by over $1 Billion.

Since the Great Depression (1929-1941), Proctor & Gamble has pioneered the use of advertising to depict to the American people “who they are” through the use of what are termed soap operas , which are described as “dramatic fiction presented in serial format on television or radio.”

Today, and as our World is faced yet again with an economic crisis, Proctor & Gamble (now the Planet’s largest advertiser) has “rocked” the advertising World with a new paradigm designed to bypass all corporate and government controls so it will be able to “speak” directly to its “consumers” with no interference, or censorship of its “American Dream” message.

Important to note, this report continues, is that unlike any other US corporate giants [only Exxon Mobil, Microsoft and Wal-Mart are bigger], Proctor & Gamble refuses to bow down to Americas political elite, and from its mammoth 2009 sales of over $79 Billion gave the laughable paltry sum of just $550,782 to federal candidates in the 2008 election cycle through its political action committee (PAC) – 35% to Democrats and 65% to Republicans.

Further enraging Obama forces against Proctor & Gamble was their ordering that none of their advertisements could run on the American “progressives” Air America Radio network thus causing it to go bankrupt in 2007 and leaving these modern day communists with no mass media forum to espouse their ideas.

[Note: Progressivism was the reform movement that ran from the late 19th century through the first decades of the 20th century, during which leading intellectuals and social reformers in the United States sought to address the economic, political, and cultural questions that had arisen in the context of the rapid changes brought with the Industrial Revolution and the growth of modern capitalism in America. The Progressives believed that these changes marked the end of the old order and required the creation of a new order appropriate for the new industrial age.]

And as bitter as Obama and those forces backing him are towards P&G, it is nothing compared to what this corporate giant is preparing to unleash upon those it deems “un-American”, and which it signaled its intentions to do this past year when its long-time Chairman and CEO, Alan G. Lafley, stepped aside to allow the US Military West Point trained Robert A. “Bob” McDonald [2nd photo left] to succeed him.

Perhaps there is no better man than McDonald is able to stop Obama from destroying the United States, this reports says in noting that aside from his US Military training, Proctor & Gambles new CEO has “been prepared” like no other corporate leader before him to “wage war” on all fronts thrown at him.

[Note: As part of McDonald’s “preparation”, and knowledge about him so well known to Russian officials, was his chief advisor role to one of the oldest, largest and most prestigious schools in Russia, St. Petersburg State University, which assisted then President Putin in making the Orthodox Christian religion a compulsory school subject in four of Russia’s regions.

McDonald, unlike Obama, and those forces supporting him, also acknowledges that Putin’s real crime is that he has refused to play by the rules of globalization. In fact, he has done something rather remarkable; indeed, unheard of these days in most Western countries—he has sought to pursue policies that truly are in Russia’s interest.

Putin recently commented, “Russians will never allow for the development of the country along a destructive path, the way it happened in some countries in the post-Soviet space.” In other words, Putin is uninterested in Wilsonian crusades in the Middle East, undermining his own economy with suicidal free-trade pacts, driving down wages with Third World immigration, or turning over Russia’s beloved oil and gas assets to multinational corporations. Putin is doing what he was elected to do: protect Russia.

McDonald has also been outspoken about his fears of Obama destroying American in stating to a Reuters reporter recently that “I am really worried about the United States … more worried than I’ve ever been in my career.”

And like Putin, McDonald has begun gearing Proctor & Gamble against Obama and the elite’s globalization plan towards one centered on his own country in his building P&G’s first plant in the United States in over 30 years and announcing, “It doesn’t make sense for us to produce Charmin toilet tissue in China and import it into the United States.”

Now to really understand the great division between Proctor & Gamble and Obama as the fate of America hangs in the balance, one needs only read the words written by one of corporate America’s true living legends, acclaimed author, dynamic teacher and one of the World’s highest rated speakers, the former P&G executive, and McDonald mentor, Lou Pritchett, who in an editorial the New York Times refused to print said:

AN OPEN LETTER TO PRESIDENT OBAMA

Dear President Obama:

You are the thirteenth President under whom I have lived and unlike any of the others, you truly scare me.

You scare me because after months of exposure, I know nothing about you.

You scare me because I do not know how you paid for your expensive Ivy League education and your upscale lifestyle and housing with no visible signs of support.

You scare me because you did not spend the formative years of youth growing up in America and culturally you are not an American.

You scare me because you have never run a company or met a payroll.

You scare me because you have never had military experience, thus don’t understand it at its core.

You scare me because you lack humility and ‘class’, always blaming others.

You scare me because for over half your life you have aligned yourself with radical extremists who hate America and you refuse to publicly denounce these radicals who wish to see America fail.

You scare me because you are a cheerleader for the ‘blame America ” crowd and deliver this message abroad.

You scare me because you want to change America to a European style country where the government sector dominates instead of the private sector.

You scare me because you want to replace our health care system with a government controlled one.

You scare me because you prefer ‘wind mills’ to responsibly capitalizing on our own vast oil, coal and shale reserves.

You scare me because you want to kill the American capitalist goose that lays the golden egg which provides the highest standard of living in the world.

You scare me because you have begun to use ‘extortion’ tactics against certain banks and corporations.

You scare me because your own political party shrinks from challenging you on your wild and irresponsible spending proposals.

You scare me because you will not openly listen to or even consider opposing points of view from intelligent people.

You scare me because you falsely believe that you are both omnipotent and omniscient.

You scare me because the media gives you a free pass on everything you do.

You scare me because you demonize and want to silence the Limbaughs, Hannitys, O’Relllys and Becks who offer opposing, conservative points of view.

You scare me because you prefer controlling over governing.

Finally, you scare me because if you serve a second term I will probably not feel safe in writing a similar letter in 8 years.

Lou Pritchett

[SirCruz]

Holy Molly!! Nice to see there are some still on the good guys side!!....Go P&G!!



This according to EU Times...

http://www.whatdoesitmean.com/pag1.gif



Obama Attack On Corporate Giant P&G Shatters US Stock Market
http://www.eutimes.net/2010/05/obama-attack-on-corporate-giant-pg-shatters-us-stock-market/

An interesting report prepared for Prime Minister Putin by Deputy Minister Tatyana Nesterenko of Russia’s Finance Ministry states that US President Barack Obama yesterday ‘personally ordered’ an attack on America’s fourth largest corporation Proctor & Gamble (P&G) over fears this Global consumer products giant has aligned itself with American Military ‘elements’ set to ‘forcefully oppose’ the ‘socialization’ of their country.

According to this report, this Obama launched attack against Proctor & Gamble originated from the banking giant Citigroup he had previously taken over using $300 Billion of American taxpayer money, and which yesterday initiated a P&G stock trade that not only cut this corporate giants worth in half, it nearly collapsed the entire US stock market in the process.

American propaganda news reports are stating that this disastrous Cititgroup stock trade was ‘mistakenly’ done when one of their traders entered ‘billion’ instead of ‘million’ while processing a sell order for P&G stock, which was immediately noticed by financial news analysts reporting on what has now become the US stock markets biggest intraday point drop in history.

Important to note, this report continues, was that at the same time Obama was attacking P&G’s stock value, he was also assaulting them through the use of his governments Consumer Product Safety Commission, which hours before the attack on P&G’s stock value announced they were launching a probe of the World’s largest household products company over claims it Pampers diapers were harming children, a claim P&G quickly fired back was “completely false”.

P&G

[Note: It bears mentioning that at the same time Obama was attacking P&G, his own government scientists are attacking him. According to the New York Times, the President’s Cancer Panel (called the Mount Everest of the US medical mainstream) yesterday released a devastating “landmark” report warning that “to a disturbing extent, babies are born ‘pre-polluted” due to the number of unregulated and untested chemicals being poured into their bodies. Only a few hundred of the more than 80,000 chemicals in use in the United States have been tested for safety and Obama’s own top scientists further warn Americans to store water in glass or stainless steel containers, or in plastics that don’t contain BPA, which, interestingly enough, P&G had long ago ceased using in its PUR Water Filter System.]

Most interesting to note in this report is its detailing how Proctor & Gamble, who from its humble Cincinnati Ohio beginnings in 1837, became the largest supplier to US Army “Union” Forces during the American Civil War (1861-1865) of soap and candles, and when ‘called upon’ by President Abraham Lincoln to “save their Union” from the ready to invade European powers of Britain and France, helped finance the 1863-1864 Russian Fleet Expedition to North America protecting the United States from British troops poised to invade to retake their former colonies.

[Note: Invading French forces were defeated by Mexican forces in the Battle of Puebla that took place on May 5, 1862 and which the holiday Cinco de Mayo (meaning 5 May) still celebrates today.]

Since the Civil War, this report continues, Proctor & Gamble has remained “inexorably linked” with its United States “consumers” and Military Forces providing a “bulwark of stability” against “any and all” threats to the “American Dream” it epitomizes through its massive advertising budget that dwarfs its nearest rival, US government owned General Motors (GM) by over $1 Billion.

Since the Great Depression (1929-1941), Proctor & Gamble has pioneered the use of advertising to depict to the American people “who they are” through the use of what are termed soap operas , which are described as “dramatic fiction presented in serial format on television or radio.”

Today, and as our World is faced yet again with an economic crisis, Proctor & Gamble (now the Planet’s largest advertiser) has “rocked” the advertising World with a new paradigm designed to bypass all corporate and government controls so it will be able to “speak” directly to its “consumers” with no interference, or censorship of its “American Dream” message.

Important to note, this report continues, is that unlike any other US corporate giants [only Exxon Mobil, Microsoft and Wal-Mart are bigger], Proctor & Gamble refuses to bow down to Americas political elite, and from its mammoth 2009 sales of over $79 Billion gave the laughable paltry sum of just $550,782 to federal candidates in the 2008 election cycle through its political action committee (PAC) – 35% to Democrats and 65% to Republicans.

Further enraging Obama forces against Proctor & Gamble was their ordering that none of their advertisements could run on the American “progressives” Air America Radio network thus causing it to go bankrupt in 2007 and leaving these modern day communists with no mass media forum to espouse their ideas.

[Note: Progressivism was the reform movement that ran from the late 19th century through the first decades of the 20th century, during which leading intellectuals and social reformers in the United States sought to address the economic, political, and cultural questions that had arisen in the context of the rapid changes brought with the Industrial Revolution and the growth of modern capitalism in America. The Progressives believed that these changes marked the end of the old order and required the creation of a new order appropriate for the new industrial age.]

And as bitter as Obama and those forces backing him are towards P&G, it is nothing compared to what this corporate giant is preparing to unleash upon those it deems “un-American”, and which it signaled its intentions to do this past year when its long-time Chairman and CEO, Alan G. Lafley, stepped aside to allow the US Military West Point trained Robert A. “Bob” McDonald [2nd photo left] to succeed him.

Perhaps there is no better man than McDonald is able to stop Obama from destroying the United States, this reports says in noting that aside from his US Military training, Proctor & Gambles new CEO has “been prepared” like no other corporate leader before him to “wage war” on all fronts thrown at him.

[Note: As part of McDonald’s “preparation”, and knowledge about him so well known to Russian officials, was his chief advisor role to one of the oldest, largest and most prestigious schools in Russia, St. Petersburg State University, which assisted then President Putin in making the Orthodox Christian religion a compulsory school subject in four of Russia’s regions.

McDonald, unlike Obama, and those forces supporting him, also acknowledges that Putin’s real crime is that he has refused to play by the rules of globalization. In fact, he has done something rather remarkable; indeed, unheard of these days in most Western countries—he has sought to pursue policies that truly are in Russia’s interest.

Putin recently commented, “Russians will never allow for the development of the country along a destructive path, the way it happened in some countries in the post-Soviet space.” In other words, Putin is uninterested in Wilsonian crusades in the Middle East, undermining his own economy with suicidal free-trade pacts, driving down wages with Third World immigration, or turning over Russia’s beloved oil and gas assets to multinational corporations. Putin is doing what he was elected to do: protect Russia.

McDonald has also been outspoken about his fears of Obama destroying American in stating to a Reuters reporter recently that “I am really worried about the United States … more worried than I’ve ever been in my career.”

And like Putin, McDonald has begun gearing Proctor & Gamble against Obama and the elite’s globalization plan towards one centered on his own country in his building P&G’s first plant in the United States in over 30 years and announcing, “It doesn’t make sense for us to produce Charmin toilet tissue in China and import it into the United States.”

Now to really understand the great division between Proctor & Gamble and Obama as the fate of America hangs in the balance, one needs only read the words written by one of corporate America’s true living legends, acclaimed author, dynamic teacher and one of the World’s highest rated speakers, the former P&G executive, and McDonald mentor, Lou Pritchett, who in an editorial the New York Times refused to print said:

AN OPEN LETTER TO PRESIDENT OBAMA

Dear President Obama:

You are the thirteenth President under whom I have lived and unlike any of the others, you truly scare me.

You scare me because after months of exposure, I know nothing about you.

You scare me because I do not know how you paid for your expensive Ivy League education and your upscale lifestyle and housing with no visible signs of support.

You scare me because you did not spend the formative years of youth growing up in America and culturally you are not an American.

You scare me because you have never run a company or met a payroll.

You scare me because you have never had military experience, thus don’t understand it at its core.

You scare me because you lack humility and ‘class’, always blaming others.

You scare me because for over half your life you have aligned yourself with radical extremists who hate America and you refuse to publicly denounce these radicals who wish to see America fail.

You scare me because you are a cheerleader for the ‘blame America ” crowd and deliver this message abroad.

You scare me because you want to change America to a European style country where the government sector dominates instead of the private sector.

You scare me because you want to replace our health care system with a government controlled one.

You scare me because you prefer ‘wind mills’ to responsibly capitalizing on our own vast oil, coal and shale reserves.

You scare me because you want to kill the American capitalist goose that lays the golden egg which provides the highest standard of living in the world.

You scare me because you have begun to use ‘extortion’ tactics against certain banks and corporations.

You scare me because your own political party shrinks from challenging you on your wild and irresponsible spending proposals.

You scare me because you will not openly listen to or even consider opposing points of view from intelligent people.

You scare me because you falsely believe that you are both omnipotent and omniscient.

You scare me because the media gives you a free pass on everything you do.

You scare me because you demonize and want to silence the Limbaughs, Hannitys, O’Relllys and Becks who offer opposing, conservative points of view.

You scare me because you prefer controlling over governing.

Finally, you scare me because if you serve a second term I will probably not feel safe in writing a similar letter in 8 years.

Lou Pritchett