[Zardoz]

A lot of alcohol will be consumed today:

Credit fears pound global stocks

European stocks tumbled in early trade on Thursday as credit market jitters intensified, the yen rose, government bond yields fell and all measures of risk reflected growing investor queasiness.

Financial stocks led a 2.7 percent fall in Europe as part of an across-the-board slide fueled by worries over exposure to the battered U.S. subprime mortgages market.

Asian shares outside Japan headed for their worst daily percentage fall since the attacks on the United States in September 2001, tracking a broad U.S. stock slide spurred by rumors of funding trouble at top mortgage lender Countrywide Financial...

..."The effects from U.S. credit on global markets remains consistent with a textbook case unraveling of financial contagion over a week after central banks intervened to normalize conditions," wrote Lena Komileva, an economist at Tullett Prebon.

[Roccland]

Yen 114.55

Sorry to say folks, but looks like today the fat lady sings.

You may want to cash your 401ks if you have not already if you have one.

Here is a source to learn about gold and silver.

Here is a source for cheap on line legumes and grains.

Here is a source for cheap on line ammo.

Hindenburg Disaster

[Eli]

Yen now at 114.53 down from 118 just a few days ago.

The Yen carry trade is very similar to the housing boom just much larger. The BOJ has kept the Yen artificially low for years, the people of Japan and Major US investment banks have borrowed the Yen and invested it around the globe.

This had the net effect of keeping inflation low in Japan and pumped up equities around the world.

Getting back on the right side of the trade means a collapse.

[qwanta]

Yen 114.55

Sorry to say folks, but looks like today the fat lady sings.

You may want to cash your 401ks if you have not already if you have one.

Here is a source to learn about gold and silver.

Here is a source for cheap on line legumes and grains.

Here is a source for cheap on line ammo.

Hindenburg Disaster

The unfortunate thing is that gold and silver haven't moved in the past few days (except downwards). I suspect Central Bank manipulation, but would be nice to see them return to safe haven status inversely correlated to stock market....

[Roccland]

Yen 114.55

Sorry to say folks, but looks like today the fat lady sings.

You may want to cash your 401ks if you have not already if you have one.

Here is a source to learn about gold and silver.

Here is a source for cheap on line legumes and grains.

Here is a source for cheap on line ammo.

Hindenburg Disaster

The unfortunate thing is that gold and silver haven't moved in the past few days (except downwards). I suspect Central Bank manipulation, but would be nice to see them return to safe haven status inversely correlated to stock market....

Correct

500% discount still in effect...get'um while its cheap!!

[sjn]

The unfortunate thing is that gold and silver haven't moved in the past few days (except downwards). I suspect Central Bank manipulation, but would be nice to see them return to safe haven status inversely correlated to stock market....

I disagree. The downward move in gold and silver is good, I'm converting a chunk of my savings as I type.

[Zardoz]

DJ is down 54 points right out of the gate:

Stocks continue their August slump - Major gauges continue selloff on continued credit and mortgage fears.

EDIT -

Make that 145 points as of 10:19 Eastern time.

It's truly dropping like that proverbial rock...

[qwanta]

The unfortunate thing is that gold and silver haven't moved in the past few days (except downwards). I suspect Central Bank manipulation, but would be nice to see them return to safe haven status inversely correlated to stock market....

I disagree. The downward move in gold and silver is good, I'm converting a chunk of my savings as I type.

As long as it goes up eventually! It's disheartening to see the same BS day after day:

[ritter]

I think I'll put money into cigarettes and liqueur instead of gold. People will trade a lot to keep their addictions fed!

[Zardoz]

Stocks Under Attack

Stocks tanked Thursday afternoon, building on the recent bloodletting, as investors took lender Countrywide Financial's latest woes as evidence of bigger problems for the credit and mortgage markets.

DJ down over 320 points at 1:15 Eastern.

U.S. Stocks Tumble on Credit Concern; Asia, Europe Markets Drop

"This is a classic case of fear trumping fundamentals,'' said John Praveen, chief investment strategist at Prudential International Investments Advisers LLC in Newark, New Jersey, a unit of Prudential Financial Inc., which oversees $648 billion.

Yeah, right! What a bunch of crap! The whole rotten system is fundamentally unsound, you sorry sack of shit!

[Zardoz]

Just another day at the office:

Emerging-Markets Stocks, Currencies Plunge on Credit Concern

Emerging-market shares fell the most in seven years and currencies declined on concern a credit crisis will derail global economic growth and reduce demand for riskier assets.

"It's a selling panic,'' said Mark Mobius, who oversees $30 billion of emerging market investments at Templeton Asset Management Ltd. in Singapore. "We're seeing a lot of negative news with few positives.''

Brazil Stocks, Currency Tumble, Wiping Out Much of Year's Gains

Brazilian stocks fell as much as 8.8 percent and the currency sank as much as 5.4 percent as a rout in global credit markets prompted investors to dump risky emerging- market assets.

"People are exiting risk as fast as they can,'' said Gordian Kemen, a Latin America fixed-income strategist at Lehman Brothers Inc. in New York. "All emerging markets are falling because nobody dares to try to assess how deep and how far the damage will be.''

Yen Set for Best Week Versus Dollar Since 1998; Carry Trade Cut

The yen rose, set for the biggest weekly gain versus the dollar since October 1998, as access to credit dried up and traders fled higher-yielding investments funded by loans in Japan.

"Our Risk Index signals it's a crisis that may be similar to or even worse than 1998,'' said Seiichiro Muta, director of foreign exchange at UBS AG in Tokyo, the second-biggest foreign- exchange trader. "Investors have completely lost confidence. There's strong interest to buy the yen.''

Moody's, S&P Face EU Probe on Credit Crisis Response

French President Nicolas Sarkozy and Europe's financial regulator called for a probe into Moody's Investors Service, Standard & Poor's and other ratings firms criticized for underestimating the risk of subprime debt.

Sarkozy told German Chancellor Angela Merkel the role of rating firms in both helping to create debt securities and assess their risk needs to be examined. EU Financial Services Commissioner Charlie McCreevy plans to review the management, conflicts of interest and resources of the companies, spokeswoman Antonia Mochan said at a press conference in Brussels today.

[Eli]

Guys what we saw today was the unwinding of the Yen carry trade.

Hedge Funds and Banks around the globe are heavily invested in the trade. The Yen shot up through the roof which kicks in margin calls on those who have been using it as funding.

The market was tanking so to off set losses the Hedgies had to sell off their best assets what were those? Shorts on home builders mortgage companies and the financials, that is what went up today.

The Yen coming apart is sucking vast sums of cash out of the market.

[Zardoz]

*yawn*

Japanese stocks drop as strong yen hits exporters

Most Asian indexes dropped Friday as investors continued to downsize their portfolios in the wake of turmoil in the global credit markets and the Japanese yen's rally against major global currencies. Shares of Japanese firms such as Sony Corp. and Canon Inc. were hit hard on fears their exports earnings will be pressured, while further selling in China-related stocks led to heavy losses in Hong Kong...

...The regionwide losses coincide with a rebound in the yen's value against global currencies, after a long spell of weakness for the Japanese currency due to the so-called yen carry trades, in which investors hitherto borrowed funds in low-yielding yen to buy other high-yielding assets.