Comments on: Did October 2008 Panic Exceed the 1987 VIX Levels ? http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/ Macro Perspective on the Capital Markets, Economy, Geopolitics, Technology, and Digital Media Sat, 21 Nov 2009 22:27:20 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: Mike in Nola http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124369 Mike in Nola Tue, 04 Nov 2008 01:55:44 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124369 AGG: No manipulation today. When markets as a whole want to, they just ignore news, good or bad. Live with it. If markets had been rational and acted quickly on information, they wouldn't have kept going up in 2006-07; it didn't take a genius to see a bubble there. Instead, they had to be hit over the head with a two by four. My theory is that those who were going to get panicked out already have been. Among those left, a substantial percentage think a bottom is in: more bad news is to be expected and is already discounted. Many of the rest are willing to play the bounce and won't sell just on news, but only if the market action turns sour. As Jesse Livermore said: "That is why I repeat that I never argue with the tape. To be angry at the market because it unexpectedly or even illogically goes against you is like getting mad at your lungs because you have pneumonia." AGG:

No manipulation today. When markets as a whole want to, they just ignore news, good or bad. Live with it. If markets had been rational and acted quickly on information, they wouldn’t have kept going up in 2006-07; it didn’t take a genius to see a bubble there. Instead, they had to be hit over the head with a two by four.

My theory is that those who were going to get panicked out already have been. Among those left, a substantial percentage think a bottom is in: more bad news is to be expected and is already discounted. Many of the rest are willing to play the bounce and won’t sell just on news, but only if the market action turns sour.

As Jesse Livermore said: “That is why I repeat that I never argue with the tape. To be angry at the market because it unexpectedly or even illogically goes against you is like getting mad at your lungs because you have pneumonia.”

]]> By: AGG http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124360 AGG Mon, 03 Nov 2008 23:46:13 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124360 Nov. 3 (Bloomberg) -- Manufacturing in the U.S. contracted in October at the fastest pace in 26 years as a record share of banks made it tougher to get loans and faltering economies abroad eroded prospects for American exports. Market reaction: NO REACTION. It was ,after all, only 26 years. Dat's Notin' says Paulson's PPT. Free stock market? Vote with your dollars? HA! The PPT votes with YOUR dollars, alright. Heads you lose, tails I win says Paulson. Never give a sucker an even break. Have a nice day. Nov. 3 (Bloomberg) — Manufacturing in the U.S. contracted in October at the fastest pace in 26 years as a record share of banks made it tougher to get loans and faltering economies abroad eroded prospects for American exports.

Market reaction: NO REACTION. It was ,after all, only 26 years. Dat’s Notin’ says Paulson’s PPT. Free stock market? Vote with your dollars? HA! The PPT votes with YOUR dollars, alright. Heads you lose, tails I win says Paulson. Never give a sucker an even break. Have a nice day.

]]> By: Mannwich http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124353 Mannwich Mon, 03 Nov 2008 22:39:53 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124353 Why, thank you Karen. Wish I had caught your prgn call. For some reason, I didn't see it. Might have bought some myself. No worries that Cramer recommended it. His timing on the call was terrible. Yours wasn't. Why, thank you Karen. Wish I had caught your prgn call. For some reason, I didn’t see it. Might have bought some myself. No worries that Cramer recommended it. His timing on the call was terrible. Yours wasn’t.

]]> By: karen http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124352 karen Mon, 03 Nov 2008 22:25:29 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124352 bruce, you just tainted my prgn by telling me that cramer recommended it. manwich jeff, you have good taste! leftback, pls lets not get into trading stories cuz i have some good ones and i wouldn't want to bruise your ego. bruce, you just tainted my prgn by telling me that cramer recommended it.

manwich jeff, you have good taste!

leftback, pls lets not get into trading stories cuz i have some good ones and i wouldn’t want to bruise your ego.

]]> By: Andy Tabbo http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124349 Andy Tabbo Mon, 03 Nov 2008 21:43:25 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124349 leftback 1.57... I'm not really a disciple of the Austrian School... I think I know what your getting at with the 30 year mortgage rising....you're suggesting that it's somehow "inflationary"? However...if the median income of Americans are stagnant, and the 30 year mortgage rises, then that implies that the housing assets will go lower as Americans will not be able to afford the same house a 7% v 5%. So, the rising mortgage rates is sort of deflationary for home values. - AT leftback 1.57…

I’m not really a disciple of the Austrian School…

I think I know what your getting at with the 30 year mortgage rising….you’re suggesting that it’s somehow “inflationary”? However…if the median income of Americans are stagnant, and the 30 year mortgage rises, then that implies that the housing assets will go lower as Americans will not be able to afford the same house a 7% v 5%. So, the rising mortgage rates is sort of deflationary for home values.

- AT

]]> By: Mannwich http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124347 Mannwich Mon, 03 Nov 2008 21:34:50 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124347 On an unrelated note, I loathe Maria Bartiromo. How exactly did she become as so called "star" on CNBC? I don't think she's very bright or maybe I'm wrong? Need to mute her every time she comes on. That voice of hers is just too much. On an unrelated note, I loathe Maria Bartiromo. How exactly did she become as so called “star” on CNBC? I don’t think she’s very bright or maybe I’m wrong?

Need to mute her every time she comes on. That voice of hers is just too much.

]]> By: leftback http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124342 leftback Mon, 03 Nov 2008 20:48:07 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124342 @ Bruce, you missed my Mother of All Short Squeezes™ ride on UYG, that was good for 35% in a day.... The VIX is down in the 50s, no wonder it seems so boring today, that should indicate a tradeable market for a few weeks at least. With the election upon us, I am thinking about a little SKF into the close. @ Bruce, you missed my Mother of All Short Squeezes™ ride on UYG, that was good for 35% in a day…. The VIX is down in the 50s, no wonder it seems so boring today, that should indicate a tradeable market for a few weeks at least. With the election upon us, I am thinking about a little SKF into the close.

]]> By: Bruce N Tennessee http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124341 Bruce N Tennessee Mon, 03 Nov 2008 20:15:21 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124341 Karen, I did go back and review the video of Cramer recommending PRGN as a buy on May 19th....since that time PRGN has lost about 2/3, but who's keeping score? Again, thanks. Had a wild ride during the tech bubble when I was als0 very selective , but never up 23% in one day...never. Karen,

I did go back and review the video of Cramer recommending PRGN as a buy on May 19th….since that time PRGN has lost about 2/3, but who’s keeping score?

Again, thanks. Had a wild ride during the tech bubble when I was als0 very selective , but never up 23% in one day…never.

]]> By: karen http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124339 karen Mon, 03 Nov 2008 19:44:28 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124339 Bruce, thanks for the update. good timing on your sell, too, as the market in general is iffy. keep an eye on it as it's paying a nice dividend and you may want to buy it under $6 for a longer term hold. DRYS reported today so it boosted the sector...prgn reports on the 1oth and dht on the 19th. amazing divs on those two if they can sustain them... Bruce, thanks for the update. good timing on your sell, too, as the market in general is iffy. keep an eye on it as it’s paying a nice dividend and you may want to buy it under $6 for a longer term hold. DRYS reported today so it boosted the sector…prgn reports on the 1oth and dht on the 19th. amazing divs on those two if they can sustain them…

]]> By: Tim Kreutzer http://www.ritholtz.com/blog/2008/11/did-october-2008-panic-exceed-the-1987-vix-peak/comment-page-1/#comment-124338 Tim Kreutzer Mon, 03 Nov 2008 19:15:24 +0000 http://www.ritholtz.com/blog/?p=7300#comment-124338 CNBCSucks comments suck.If you cannot "write something more clever"please spare us.I find your comments vacuous and ,therefore, off-putting. CNBCSucks comments suck.If you cannot “write something more clever”please spare us.I find your comments vacuous and ,therefore, off-putting.

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