Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : What Can We Do To Bring The Country Back Together? -- Ignore unavailable to you. Want to Upgrade?

To: ILCUL8R who wrote (24)	12/13/2000 4:14:45 PM
From: Mike 2.0	Respond to of 181

Good question, I honestly do not know. Anyone? C'mon, Baker, exit stage right, pun intended...

To: ILCUL8R who wrote (24)	12/13/2000 4:15:12 PM
From: chomolungma	Read Replies (2) \| Respond to of 181

My recollection is that the crash partly was precipitated by some structural problems with exchange rates with currencies, and that Baker was seen as an amateur in a high place. The info I read once laid much of the blame for the crash on Baker. Well, I've been around the markets since the 70's and I can tell you that I've never heard that exchange rates and currencies had anything to do with the 87 crash. And I don't ever remember hearing that Baker had a thing to do with it. The 87 crash was, IMO, the result of interest rates that were rising all through 87 and a market that was going up too. There was also a little thing they called "portfolio insurance" that was all the rage. These were essentially stop loss orders that were in place to "insure" against a decline in the market. These orders were in the S&P Futures market and touched off a cycle of futures leading to computer selling that fed on itself.