"Stocks Could Rise When Bullets Fly"

You just knew it was only a matter of time:


Stocks Could Rise When Bullets Fly
Sat Feb 8, 2:57 PM ET
By Haitham Haddadin

NEW YORK (Reuters) - If history is a guide, rockets raining down on Baghdad could spark a rally on Wall Street.

Macabre as it sounds, stock market rallies have been a consequence of war in the past. And an attack on Iraq would remove some of the uncertainty that has clouded the market.

http://news.yahoo.com/news?tmpl=sto...1&u=/nm/20030208/bs_nm/markets_stocks_iraq_dc

Perhaps a sure sign that we'll continue downwards?
 
My lad, there are no "sure signs" in the market. If you think that there are, mortgage the farm, and go short. If you're not so sure, then why did you make the post? What's the point?
 
In anticipation of a war rally institutional money managers are going to a) cover short positions 2) raise cash by selling defensive stocks and c) buy high-beta stocks (QQQ, semi's, etc.). As a result, the stock market will stay relatively flat with NDX outperforming SPX. The October lows will hold, which will be widely interpreted as a bullish sign.

Once the bullets start flying, the institutions and later the public will rush to buy stocks, and the market will rally. However, in the absence of a short squeeze, the rally will quickly run out of steam with few buyers yet plenty of short sellers left... As usual, the investing public will get trapped along with a majority of MF managers.
 
Quote from dis:

In anticipation of a war rally institutional money managers are going to a) cover short positions 2) raise cash by selling defensive stocks and c) buy high-beta stocks (QQQ, semi's, etc.). As a result, the stock market will stay relatively flat with NDX outperforming SPX. The October lows will hold, which will be interpreted as a bullish sign.

Once the bullets start flying, both the institutions and the public will rush to buy stocks, and the market will rally. However, in the absence of a short squeeze, the rally will quickly run out of steam with few buyers yet plenty of short sellers left... As usual, the investing public will get trapped along with a majority of MF managers.

I wonder if you can help me - I've misplaced my car keys - that should be an easy one for you...
 
Quote from tampa:



I wonder if you can help me - I've misplaced my car keys - that should be an easy one for you...

Thank you for your helpful opinion.
 
Quote from TGregg:



Thank you for your helpful opinion.

So you're not going to tell me where the keys are?

Well, if you can't tell me where my car keys are, why should I believe your market prognostications?

I think you are just a phoney - like Miss Cleo, and all the rest.

I'll find the keys myself - thank you.
 
Quote from tampa:I wonder if you can help me - I've misplaced my car keys - that should be an easy one for you...
My crystal ball is a bit cloudy today... All I can see is that you are long OTM puts likely to expire worthless. Are you sure you own car keys? :confused:
 
Quote from dis:

My crystal ball is a bit cloudy today... All I can see is that you are long OTM puts likely to expire worthless. Are you sure you own car keys? :confused:


...damn, you're good! I was just trying to trick you with the car keys thing - it's my monthly bus pass I've lost - any ideas where it could be?
 
Should anybody know of a "professionals only" trading BBS to hang out at, I'd sure appreciate an invite. Thanks.
 
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