3 replies to this topic

[James Quillian]

Where is the PPT? After all, the Dow is down 5% from its all time high. And yikes! The Russell 2000 is down an unthinkable 8% from its all time high. The PPT is doing what it has been doing since spring of 2003 and that is nothing. Does that mean the market has not been manicured and goosed during that same time period? I would guess not. It seems that most have become conditioned to predictable outcomes provided by a planned bull market. In other times such a modest correction (to date) would hardly make the evening news. Today the fear is not of a crash but of any decline at all. The unspoken fear is that untempered market forces will again take control of the stock market. To me it appears as if there have been several bold attempts to turn the market around over the past few days. One dead give away with respect to organized support is weird strength is secondary issues. When supporting bids are placed under the market like a blanket, the thin stocks are likely to respond out of proportion to the big ones. The Russell 2000 held up pretty good today. What we have been seeing are clandestine subsidies to Wall Street. There is nothing an official group like the PPT can do to "save the stockmarket" in the event of a serious demand/supply shift. All of its ammunition has already been spent. James Quillian

[nimblebear]

Lots of BIFURCATION. many stocks up a little or not down much. Many down big.

[pdx5]

James, I honestly believe PPT powers are an exaggerated myth. If the market (DJ30 & SPX) drops 15% from highs, I will be even more convinced. Ofcourse if there is a true crisis of confidence (such as after 911) in the financial markets, then the FED, PPT, Guvrmint, whoever is going to do everything possible to help stabilize the markets. The problems start when they go overboard as Greenspan did in dropping the rates to 1% and that created the credit bubble. Right now, with general economy humming along, the best thing they can do is let the credit bubble deflate in an orderly fashion and let the imbalances correct themeselves.

[James Quillian]

James, I honestly believe PPT powers are an exaggerated myth.
If the market (DJ30 & SPX) drops 15% from highs, I will be even more
convinced.

Ofcourse if there is a true crisis of confidence (such as after 911) in the
financial markets, then the FED, PPT, Guvrmint, whoever is going to
do everything possible to help stabilize the markets. The problems start
when they go overboard as Greenspan did in dropping the rates to 1%
and that created the credit bubble.

Right now, with general economy humming along, the best thing they
can do is let the credit bubble deflate in an orderly fashion and let the
imbalances correct themeselves.

The PPT is always there so that anyone can point to it as an official organization and say, "See the PPT isn't doing anything.............So, there you have it, no manipulation and no more possibilies. What bothers me comes from my understanding of how democracy, in time, becomes a medium for transfering wealth.

I don't know anything about the guy that wrote this but I like the quote.
"Imagine for just a moment, that the Dow Jones Industrials has become a key instrument of national economic policy, and that by "actively managing" its direction, the government could impact the wealth of tens of millions of US households, and by extension, influence consumer confidence and spending." Gary Dorsch
His article is pretty good too.
The "Plunge Protection Team" Working Overtime

I am first to admit that I have no proof but I have never had proof of anything in time for it to make a difference. I don't think that the official PPT has played much if any role in controlling the market.
I do think the control has been there from a clandestine source because it shows up in charts and on the tape.

James