Wall Street Crash for the Books

Wall Street Crash for the Books [+ favourites]

Today was a historic day in US financial history, for anyone who has been following the market. For those that haven't, here is the scoop:

Lehman Brothers, a company you probably haven't heard about, are a financial company (a very, very large one) that had a lot of investments relying on mortgages. Of course, the housing crisis has prevented people from paying these mortgages very well and as a result there has been a choke hold on all of these sort of lenders not knowing what to do.

Recently two big companies, Freddie and Fannie, were officially taken over by the US government and given 200 billion in cash to help avoid a recession.

Unfortunately, Lehman brothers' desperate attempts to get bailed out as well were unsuccessful. This last Sunday was the last best hope, which did not come through.

Today, they filed for bankruptcy. The massive firm, which was trading at approximately 100 dollars a share with a market cap of approximately 70 billion dollars dropped 95% in value today and closed at an astounding $0.21 a share.

http://finance.yahoo.com/q?s=leh

Merrill Lynch, a hundred year old company similar to Lehman Brothers was not so unlucky - they no longer exist and have sold their entire business to Bank of America.

The market dropped 4 percent today, making it the biggest crash since 9/11 (no pun intended).

http://finance.yahoo.com/losers?e=us

On a side-note, I wish I believed in Napster (although its completely reasonable not to) because it got bought by Best Buy today and the price shot up almost 90%.

US Dollar, surprisingly, was almost completely unnafected.

"Hating everyone protects me from elitism."

quote:

---

US Dollar, surprisingly, was almost completely unnafected

---

"I am Akba-Atatdia"

Wall Street? That is an Insane Asylum, right?

"Terrorist or tyrant, few may come to the Truth that both are poor choice."

DOW dropped 400+ points EVEN after they were bailed out!!!! This is not looking good folks.


I'm seeing this on the news as I type :'(

"I'm a human being, God Dammit!! My life has value!!!"

Down 740 right now.

Fucking insane. Brian Williams interrupted the television just to scare everyone even more.

Closed down 777.68. Worst point drop in history.

"I am Akba-Atatdia"

What occurred here is that large sums of money has been taken out of the stock market as a chain effect to others selling.
And they made a huge amount of money off the rest of us that didn't sell.

This is the stock market. This was the risk, this was the danger. Its not a secure safe heaven, it relies on people being greedy to play the game.

If you want to know who's to blame, look at who took the money. If you know anything about the stock market it didn't disappear.

If you wanted to fix the situation then everyone buy stocks. This will cause the price of the stock to rise due to demand.

If you want to contribute to the problem, sell sell sell.

guess what? 200 million people in the US purchase 1k of stock that's an immediate growth and impact on the economy. Problem is watch how the greedy sell when there stock just made them millions. When in reality they stole the money from other people. Thus, playing the game.

""Live to become, not aquire" Kenneth R Bowles"

And the best thing they could do was to reject the Bill.

"Some men are wise. Others are otherwise."

800Billion Dollars the Government is willing to spend on this bailout could be divided among the current estimated population of 305Million to about $2623 PER PERSON.

"I'm a human being, God Dammit!! My life has value!!!"

Package failed Monday, misunderstanding: the financial markets have nothing to do with me, but actually we are in a credit crisis. Now banks are not lending to each other and the interest rate are going up. It is also hard for small businesses and individuals to get credit so now you cannot get a loan, business loans. The market does affect the individual.
If we don’t do any thing we are going to lasting damage

signing a bill tomorrow will not fix the economy right away, but it takes time because of the damage we have already done.

As American’s we need to save, not over spend

""Man is least himself when he talks in his own person. Give him a mask, and he will tell you the truth" -oscar wilde"

True capitalism is risky. If corporations start to rely on the government, then they are government institutions.

It’s said socialism is evil.

Socialism is far more stable than free market capitalism.

If its stability we want, then the answer is clear. No system will make everyone rich, the closest you will ever get will be Communism, where growth is slow because the money is spread out too much.

Though, if you compare now with 100 years ago, we would all live like kings, but that’s just not good enough is it?

""Live to become, not aquire" Kenneth R Bowles"

Things tanked again today and finally a more somber face on newscasters appears.

"I am Akba-Atatdia"

Maybe people will finally realize how dangerous an unstable form of market really is. Maybe we will rise up above our primitive form of economy and form a better one that will propel us as a species well into productivity and in peace. Maybe….awe hell who am I kidding. Some people just want to accumulate wealth and control others. What a shame.

""Live to become, not aquire" Kenneth R Bowles"

nasdaq and s and p still down. Credit markets remain tight, economic fears high; Overseas markets plunge. i dont even know what to say

""Man is least himself when he talks in his own person. Give him a mask, and he will tell you the truth" -oscar wilde"

Our own greed is what fueled this. And look at the market, look how much money is going away then ask, who’s pocket is it going into?
Few are getting extremely wealthy from the expense of the people. The game is sick, they put in enough to push up stocks so others buy in hopes it will continue to rise, only to watch it fall as they sell massive “earnings” and lose money off hope.

""Live to become, not aquire" Kenneth R Bowles"

Go on to you tube and type in 'collapse of the dollar' or 'The money masters' which is 3 hours long but was made in the mid ninties and predicted the crash.

"I hungry"