China sets rules on stock margin trade, short sales

Hi.

Do you mean DOW 400 or STI 400, please?

Thank you.

boyikao3      ( Date: 23-Jan-2010 13:29) Posted: Based on Elliot Wave. If you are currently vested a lot in equities, you should be feeling very frightened and worried. This Grand Supercycle  3rd wave of Primary C down is unimaginable in magnitude and speed. People heavily invested will not have time to react when the momentum builds up (now not yet). BTW, Dow will be at 400 by the end of completed C wave, not 1200 ! For STI? Who cares?   ronleech      ( Date: 23-Jan-2010 12:01) Posted: Hi..base on what prove huh? Your assumption? 90% off...that means STI will be at 400? Dow at 1200?

Likewise, it's good to remind ourselves that we should not give 'Distorted' Bearish calls unless well-substantiated with accurate info.
Stock markets are always on the move, and it's either up / down, isn't it? So wait for the correction to abate.
It is unfortunate though that we have short sellers out there as well to amplify jitters / the correction.
Look at how much reversal took place for most counters after short coverings began is a testament.

As for technicals, no one can dictate an accurate outcome, not even brokerage(s) / fund houses.
It's sentiments that steer the direction of the market.
Hence, if your investment is good for the longer run, holding onto it is key to better returns.

boyikao3      ( Date: 23-Jan-2010 11:52) Posted: For those who hold, they will find the value of their holdings erased by more than 90% in the next 2 years ! The 200 over years Grand Supercycle Bear has just  resumed its wave down, this time, IT IS THE LARGEST WAVE 3 DOWN ! Dun give bullish calls unless they are substantiated by very good reasons! smartrader      ( Date: 23-Jan-2010 10:43) Posted: vicious cycles of stock market of blue chips...contra player will lose money..those who can hold will get back their money...

Hope that happen.............

dealer0168      ( Date: 23-Jan-2010 10:47) Posted: Dow plunges more than 200 points for second straight day Posted: 23 January 2010 0617 hrs     Photos 1 of 1 Traders on the floor of the New York Stock Exchange           NEW YORK - US stocks tumbled for a second straight day on Friday as markets were roiled by US President Barack Obama's bank revamp plans and doubts on Federal Reserve chief Ben Bernanke's renomination. The Dow Jones Industrial Average slumped 216.90 points (2.09 percent) to 10,172.98, posting its third straight session of triple digit losses and its biggest weekly drop since February 2009. The Nasdaq composite tumbled 60.41 points (2.67 percent) to 2,205.29 and the Standard & Poor's 500 index dropped 24.72 points (2.21 percent) to 1,091.76. Investors sold ahead of the weekend as the financial sector vociferously opposed Obama's plans unveiled Thursday to limit the size and scope of US banks and finance firms in a new offensive against Wall Street excesses. The measures would effectively force financial firms to choose between lucrative proprietary activities -- trading in stocks and sometimes risky financial instruments for their own benefit -- and traditional activities, like making loans and collecting deposits. Analysts said the stock selloff over the last two days underscored market concerns. "The president might be on the right warpath to soothe the American public, yet the market is telling him to be careful about using regulatory weapons of mass destruction," said Patrick O'Hare of Briefing.com. "What we see in front of us is a market that doesn't like the idea of excessive regulation since excessive regulation curtails earnings potential," he said. Also Friday, doubts grew over Bernanke's renomination as key Democrats voiced opposition, prompting a renewed expression of support from the White House. "If he is not reappointed I think the markets would have a fit. Already we have seen that in the markets...what has happened in the last couple of hours is related to the events around Bernanke," said Nariman Behravesh, chief economist at IHS Global Insight. Two members of Obama's party announced they would vote against Bernanke, underscoring a shift in the political landscape after the loss of a seat in Massachusetts that ended the Senate supermajority for the party. Obama believes the Senate will confirm Bernanke, a White House spokesman told reporters traveling with the president en route to Ohio. Beijing's moves to clamp down on lending to cool an overheating Chinese economy also dragged down the market amid concerns over possible easing of the the global economic recovery from recession. "Frankly, we see China tightening as the biggest factor at work this week. Its actions are highlighting for market participants that the easy money that fueled the 2009 rebound is going to be less easy to get in 2010," O'Hare said. "Naturally, this has to take some wind out of risk trades." Banking stocks extended their losses. Bank of America fell 3.68 percent to 14.90 dollars, Morgan Stanley by 5.25 percent to 27.80 dollars, JP Morgan Chase by 3.40 percent to 39.16 dollars and Goldman Sachs by 4.20 percent to 154.12 dollars. General Electric rose 0.56 percent to 16.11 dollars after notching a stronger-than-expected net profit of 3.0 billion dollars in the fourth quarter, down 19 percent from a year earlier. Fast-food chain McDonald's rose 0.30 percent to 63.39 dollars after its net profit jumped 23 percent in the fourth quarter to 1.216 billion dollars. Internet giant Google fell 5.66 percent to 550.01 dollars despite a quarterly profit that surpassed expectations of most Wall Street analysts. The bond market was mixed. The yield on the 10-year Treasury bond fell to 3.598 percent from 3.611 percent Thursday and that on the 30-year bond rose to 4.510 percent from 4.506 percent.

Dow plunges more than 200 points for second straight day
Posted: 23 January 2010 0617 hrs

	Photos 1 of 1 Traders on the floor of the New York Stock Exchange

NEW YORK - US stocks tumbled for a second straight day on Friday as markets were roiled by US President Barack Obama's bank revamp plans and doubts on Federal Reserve chief Ben Bernanke's renomination.

The Dow Jones Industrial Average slumped 216.90 points (2.09 percent) to 10,172.98, posting its third straight session of triple digit losses and its biggest weekly drop since February 2009.

The Nasdaq composite tumbled 60.41 points (2.67 percent) to 2,205.29 and the Standard & Poor's 500 index dropped 24.72 points (2.21 percent) to 1,091.76.

Investors sold ahead of the weekend as the financial sector vociferously opposed Obama's plans unveiled Thursday to limit the size and scope of US banks and finance firms in a new offensive against Wall Street excesses.

The measures would effectively force financial firms to choose between lucrative proprietary activities -- trading in stocks and sometimes risky financial instruments for their own benefit -- and traditional activities, like making loans and collecting deposits.

Analysts said the stock selloff over the last two days underscored market concerns.

"The president might be on the right warpath to soothe the American public, yet the market is telling him to be careful about using regulatory weapons of mass destruction," said Patrick O'Hare of Briefing.com.

"What we see in front of us is a market that doesn't like the idea of excessive regulation since excessive regulation curtails earnings potential," he said.

Also Friday, doubts grew over Bernanke's renomination as key Democrats voiced opposition, prompting a renewed expression of support from the White House.

"If he is not reappointed I think the markets would have a fit. Already we have seen that in the markets...what has happened in the last couple of hours is related to the events around Bernanke," said Nariman Behravesh, chief economist at IHS Global Insight.

Two members of Obama's party announced they would vote against Bernanke, underscoring a shift in the political landscape after the loss of a seat in Massachusetts that ended the Senate supermajority for the party.

Obama believes the Senate will confirm Bernanke, a White House spokesman told reporters traveling with the president en route to Ohio.

Beijing's moves to clamp down on lending to cool an overheating Chinese economy also dragged down the market amid concerns over possible easing of the the global economic recovery from recession.

"Frankly, we see China tightening as the biggest factor at work this week.

Its actions are highlighting for market participants that the easy money that fueled the 2009 rebound is going to be less easy to get in 2010," O'Hare said.

"Naturally, this has to take some wind out of risk trades."

Banking stocks extended their losses. Bank of America fell 3.68 percent to 14.90 dollars, Morgan Stanley by 5.25 percent to 27.80 dollars, JP Morgan Chase by 3.40 percent to 39.16 dollars and Goldman Sachs by 4.20 percent to 154.12 dollars.

General Electric rose 0.56 percent to 16.11 dollars after notching a stronger-than-expected net profit of 3.0 billion dollars in the fourth quarter, down 19 percent from a year earlier.

Fast-food chain McDonald's rose 0.30 percent to 63.39 dollars after its net profit jumped 23 percent in the fourth quarter to 1.216 billion dollars.

Internet giant Google fell 5.66 percent to 550.01 dollars despite a quarterly profit that surpassed expectations of most Wall Street analysts.

The bond market was mixed. The yield on the 10-year Treasury bond fell to 3.598 percent from 3.611 percent Thursday and that on the 30-year bond rose to 4.510 percent from 4.506 percent.