Yeah where is the next capitulation.I thought we would have been down more today after the euro bleeding,
Yeah where is the next capitulation.Bloody market is clinging to their shares like rats to some floating debris.
“With immediate effect, [the SNB] will no longer tolerate a EUR/CHF exchange rate below the minimum rate of CHF 1.20. The SNB will enforce this minimum rate with the utmost determination and is prepared to buy foreign currency in unlimited quantities,” the SNB said.
I'm starting to lean more towards health stocks, cochlear and mesoblast have been doing super well..
What I don't understand is how Bloody Huge Profit (BHP) is doing so poorly.
Might top up on COH and BHP if things go really pear shaped.
People holding financial stocks - buckle in for the ride! I'm not a short term trader but they must be making a killing out of these!
The Swiss have come out swinging...
http://www.marketwatch.com/story/fr...t-euro-franc-floor-2011-09-06?dist=beforebell
As I recall BHP touched $20 a few years ago..... Has this ride south finished?
I think BHP hit $20 exactly in November 2008. At the time I think there was an ASF subscriber saying he would not touch them until they hit the "low teens". I guess he is still waiting.
I have no idea when the SP is heading north but suspect it will not be tomorrow...
And they will fail eventually. You can't defend a currency at all costs. Charging negative interest for deposits however would have been a better strategy.
The Swiss franc plunged dramatically versus the euro and other major rivals Tuesday after the Swiss National Bank took the extraordinary step of setting a floor for the euro/Swiss franc exchange rate at 1.20 francs and vowed to buy “unlimited quantities” of euros to defend it.
Banks Driving Widest Price Swings in Last Trading Hour Since 2009: Options
“There are a lot of reasons why the markets are moving so much these days that don’t necessarily have to do with fundamentals,” Jeremy Wien, who trades Chicago Board Options Exchange Volatility Index, or VIX, derivatives at Peak6 Investments LP, said in an interview. The Chicago-based firm manages more than $1 billion. “Banks have to hedge themselves,” he said. “It can have a big effect.”
http://www.bloomberg.com/news/2011-...-in-last-trading-hour-since-2009-options.htmlFewer Market Makers
Hedges sway prices more because there are fewer firms making markets, said David Palmer, who manages a volatility portfolio at Hudson Bay Capital Management LLC, a New York-based hedge fund that oversees about $1 billion. U.S. regulators oversee 4,525 brokerage firms, 7.7 percent fewer than the level at the beginning of 2009, according to the Financial Industry Regulatory Authority.
“I don’t know if the gamma effect is the biggest it’s ever been, but I will tell you that natural buyers and sellers of gamma such as market makers seem to be fewer and farther between,” Palmer said. “You have a magnified gamma effect because you have less people who are willing to take a stand. And if there’s a lot of uncertainty in the world, then you’d be crazy to stand in front of that freight train.”
They want to talk big, let's see them REALLY walk the walk.
LOL.
From the article -
Nice "boast" there about their unlimited financial resources, eh? Desperate *bluff* statement by a desperate gummint?
Hey, if the state manipulated SNB are implying they have access to an "unlimited" amount of funds with which to purchase "unlimited quantities" of euros, why don't the Swiss go further in the oneupmanship stakes and offer to buy out ALL THE DEBT IN EUROPE - thereby solving the Eurozone Debt Crisis at a single stroke?
Why dither with their own small fry when they obviously have enough money to buy the planet? ? Hmmm. Surely that would make more $en$e? They want to talk big, let's see them REALLY walk the walk.
LOL.
It's one thing to protect your exports by lowering your currency, quite another to buy and hold crap in order to do so.
What I don't understand is how Bloody Huge Profit (BHP) is doing so poorly.
up 2% atm
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