> "Robert Cohen" msn.com> wrote in message
>
> news:dfcfa63a-4939-4713-aa37-ab914084960e@f63g2000hsf.googlegroups.com...
> On Jul 19, 10:01 am, Robert Cohen msn.com> wrote:
>
>
>
>
>

>> On Jul 19, 8:02 am, ZerkonX X.net> wrote:

>

>>> On Fri, 18 Jul 2008 21:15:38 -0700, Immortalist wrote:

>>>> To profit from the stock price going down, short sellers can borrow a
>>>> security and sell it, expecting that it will decrease in value so that
>>>> they can buy it back at a lower price and keep the difference.

>

>>> To REALLY profit a short seller, or fund, can get their bud, or partner,
>>> at one of the financials to downgrade the stock, or to publish something
>>> negative, or to have 'inside' information on a litigation, or... dang,
>>> so
>>> many ways.

>

>>> This is very interesting...

>

>>>> Political fallout from the 1929 crash led
>>>> Congress to enact a law banning short sellers from selling shares
>>>> during a downtick; this was known as the uptick rule, and was in
>>>> effect until 2007.
>>>> President Herbert Hoover condemned short sellers
>>>> and even J. Edgar Hoover said he would investigate short sellers for
>>>> their role in prolonging the Depression. Legislation introduced in
>>>> 1940 banned mutual funds from short selling (this law was lifted in
>>>> 1997)...- Hide quoted text -

>

>>> - Show quoted text -

>

>> Imho:

>

>> Market tactics or plays, changes, and dynamics are very much dependent
>> upon knowing and utilizing information.

>

>> "Information" quality can be all the way from "metaphysical certainty"
>> to cab driver gossip milll rumor.

>

>> It takes skill, pluck and luck to manipulate, acquire & exploit
>> "inside" ideas, before others know and act, and eventually mass media
>> publicize the info often "too late" into the situation or ex post
>> facto.

>

>> The markets imho are about multitudes of zero sum games of winners and
>> losers constantly.

>

>> It takes knowledge and experience to know how to play, whether to
>> hedge, to go long, or to go short on a stock or commodity.

>

>> Quick knowledge & quick exploitation of a crop freeze in Calif,
>> Brazil, Chile, Timbuctu etal is a typical factor.

>

>> These phenomena are a sophisticated jungle, not totally dis-similar to
>> the overall reality of ordinary existence or life as one perceives it.

>

>> For hypothetical example (using semi-colorful hack descriptive cliches
>> and idiomatic expressions)

>

>> Suppose one owna part of a business that is seemingly going great
>> guns, and seemingly making beaucoups of moola hand over fist.

>

>> Mr. J.P. Bulgebottom, the largest stockholder of the thriving ACME,
>> decides that now is the time to buy more stock, hoping ACME merges
>> with competitor BOKI, which itself has made some really big money from
>> a recent freak gold mine discovery in rural Manitoba.

>

>> ACME's shittey stock has stayed aound $9 a share since Clinton exited
>> the Presidency.

>

>> Meanwhile, Bulgebottom's secretary plays bridge with your cousin's
>> niece every Thursday night, and
>> casually comments that ole J.P. is seemingly buying ACME stock, as
>> the price is now $11.75

>

>> That's how "catch as catch can" the stock market is thought of by me.

>

>> Purchases are reported to the Securities Exchange Commission within a
>> few days as required by law, and thus the insider buying becomes
>> officially widely known.

>

>> ACME ascends to $18 when the news magazine Barron's writes up
>> Bulgebottom's purchase.

>

>> Particularly if ya don't think my hypothetical anecdote is
>> "normative", then please un-chime in.- Hide quoted text -

>

>> - Show quoted text -

>
> FORTUNE published this article in March, 2008.
>
> "HOW WALL STREET LOST ITS WAY"
>
> http://money.cnn.com/2008/03/17/magazines/fortune/investing/Tully_Wal...
>
> The leverage upon leverage upon leverage based upon the "SECURATIZING"
> of mortgages of apparently often highly risky or dubious quality
>
> To me, the simple explanatory essence of the paradox or contradiction
> is that:
>
> WALL STREET FIRMS and ORIGINATING MORTGAGE BROKERS AREN'T PAID FOR
> LOANS & SALES THEY DON'T BOOK
>
> So they compromise traditional hard-nose banking standards and also
> common sense to make their commissions in the disengenuous or flawed
> pretentious rigamarole.
>
> Thus Wall Street and the mortgage industry are responsible for their
> own failings.
>
> Ain't I great at my glib Monday morning quarterbacking?
>
> -----------------------------
>
> YES you are, but, the financial incompetents, crims, and thugs on wall
> street, in the banks, in the fed, and the govt treasury should be horse
> whipped 100 times, then sent to Sing Sing for the term of their natural life
> .... and the problem will NEVER happen again.
>
> It reallly is sooooooooooooooooo SIMPLE to fix the problems.
>
> The problem is, *they* do not want to.
>
> Who is *they* you ask?
>
> You don't know yet? sheeeeeesh! wake up.
>
> OK enough from me, and no i'm not an "expert", all financial experts should
> get a REAL JOB or take up farming for a living.
>
> -
> thx sean- Hide quoted text -
>
> - Show quoted text -