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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?


To: StockOperator who wrote (72561)3/18/2001 10:36:28 AM
From: Patrice Gigahurtz  Read Replies (2) | Respond to of 99985
 
I agree that historic margin debt was a factor and if you'll recall was it not thought that it wouldn't have the desired effect and would rather be a negative for the smaller investor (to make changes in the margin requirements) ?.

I thought I saw recently that margin debt could be down by 1/3 from it's high, does that sound right ? Ever since that 1/2% May mistake increase the markets have been in trouble and it's problematic more so now given that the current climate is DC soundbites that have little in the way of desired effects. Recall in 1987 when a loss of confidence in DC regarding the national debt could have been a factor on that memorable '87 historic Monday ?



To: StockOperator who wrote (72561)3/18/2001 10:40:53 AM
From: Ted Downs  Read Replies (2) | Respond to of 99985
 
Stockoperator,
There is no argument that the markets got ridiculous last March, but Mr. G made a huge mistake in throwing water on the fire which completely smothered all the flames of the economy and put the world economy in jeopardy.
All he had to do was raise margin requirements to calm things down.

On another note I read today that Byron Wien (the absolute bear) thinks stocks are undervalued.

public.wsj.com