What's with the stock markey today?

Question

Analysts are basically full of beans, because all of the so-called "negative factors" that are supposedly crashing the market today were just as present last week.

Answer 1

Many investors are mutual funds, hedge funds, & Govrnment retirement funds, that hire top advisors to manage their portfolios of stocks & investments.
They all have stop loss programs entered into their investment portfolios. When certain stocks decline, for any number of reasons, other stocks may have to be sold off to meet "Margin" requirements.
Hence, we get many investments of all types in a mad sell off pattern, that may or may not persist until things calm down.
Unfortunately, investors also use the "Herd" mentality where they all rush for the door out at once, before it closes.
Here is a story that could be related:

http://allafrica.com/stories/20070726088...
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Answer 2

OVER ANALYZING!!

They are "worried" about the price of oil, failed company mergers, low 2Q sales reports from large retailers, and most importantly the all mighty sub-prime mortgages! Their primary "worry" is that credit payments are spreading beyond the sub-prime market...

Basically some jackass broker opens his mouth about some stupid thought on his mind and they all start throwin' back a bottle of Xanax! They need to get rid of these guys and let in some guys with some real balls for a change!!

I'm sick of everyone opening their mouth because all it does is scare the entire country into believing something that isn't true...

Here's the facts people:

1) GAS IS GOING UP - get used to it, get ready for it, don't stress out about it!! There is absolutely nothing we can do - be thankful we aren't paying $8/gal like they are in Europe!!

2) ATTENTION PEOPLE in the sub-prime market, put on a pair of pants and grow up, own up to your responsibilities and pay your F*%$!ing bills!

3) Just because a company reports a lower earning for the 2Q doesn't mean they're doing bad necessarily - the street just assumes the market is down without thinking "hey, just maybe our economy is up and people are buying at nicer stores or spending their money elsewhere"...

If I were you I'd invest every penny I own in the market TODAY before the market closes! This is what's called a market correction. Every so often we have a nice run-up, then we lose 1/2 of what we made in a single day... give it 2-3 days and we'll be right back to where we were :))

Answer 3

If you're talking about the housing market, you're right. The housing or real estate market reached it's top 2 years ago so it's been sliding down for the past 2 years. It was hard for me to believe Tuesday's DOW drop was because of the housing market. If it was, then some investors were playing very risky and then they suddenly decided to drop out. My guess would have been rising interest rates in other countries that caused the DOW to drop along with other indexes.

Answer 4

CBOE Volitility was up to 24. Thats what happened I hate it when It gets above 13. The last time it tanked feb 27th the CBOE was at 19. So when ever the CBOE is on the rise above 13-15 get out.

Answer 5

Analysts basically make up things and it all depends on their interpretation of the factors. I would ignore these type of people and find out your own information.

Answer 6

The stock exchanges are an auction system. It's all psycology.
Stocks are worth what people think they worth. Alot of people changed their mind today.

Answer 7

The stock market is so unpredictable. There is a software that can automate and send you Alerts to when to buy and sell - https://www.youtube.com/watch?v=-Udr1NjEc6I