Nasdaq to Cancel All Trades of Stocks Moving More Than 60%

[AmericasLastHope]

May 6 (Bloomberg) -- Nasdaq OMX Group Inc. said it will cancel all trades of stocks at prices that were 60 percent above or below the last price at 2:40 p.m. or immediately prior.

The exchange operator said in a statement it will cancel all trades "greater than or less than 60 percent away from the consolidated last print in that security at 14:40:00 or immediately prior."

Nasdaq said it coordinated the decision with all other exchanges.

http://www.bloomberg.com/apps/news?pid=20601087&sid=ai9CehsZxjqA&pos=1

[YumYum]

It was just announced that Japan has dumped 2 trillion dollars into the money markets. This is insane. Are we witnessing the collapse of our global economy?

[angelatc]

May 6 (Bloomberg) -- Nasdaq OMX Group Inc. said it will cancel all trades of stocks at prices that were 60 percent above or below the last price at 2:40 p.m. or immediately prior.

The exchange operator said in a statement it will cancel all trades "greater than or less than 60 percent away from the consolidated last print in that security at 14:40:00 or immediately prior."

Nasdaq said it coordinated the decision with all other exchanges.

http://www.bloomberg.com/apps/news?pid=20601087&sid=ai9CehsZxjqA&pos=1

Unfreaking believable.

[YumYum]

Unfreaking believable.

The pundits are saying that the markets are going to be violatile tomorrow. I think that this will define what a great nation is. Are we going to help each other or kill each other? I believe Ron Paul supporters will set an example of what the true American spirit is all about. I know I have pissed many memebers on this board off, but I would be the first to welcome you in my home and share whatever I have with you. If this a collapse, of our financial system, we have to stick together. There are more important things in life than money.

[silverhandorder]

Honestly if this is a collapse it is extremely fucking boring. :D Here is to hoping all this will blowover.

[devil21]

I was just about to post this. Unbelievable! So a market crash occurs and both NASDAQ and the NYSE (to a lesser extent) just say "Nope! Do over!" and cancel the trades? That's about as obvious a manipulation as it gets. Amazing. No one has even come out with an official "explanation" (why does a market drop need an explanation anyway?) but the exchanges are acting as if some giant computer glitch occured when that's not been proven and by most accounts there were no computer problems. When I think I've seen it all, they surprise me.

[Lafayette]

It was just announced that Japan has dumped 2 trillion dollars into the money markets. This is insane. Are we witnessing the collapse of our global economy?

Forgive us ignorant ones, but what does this mean?

It obviously cannot be good.

[silverhandorder]

If it did happen it wipes out the dollar right away. That is two trillion worth in paper currency that just dumped into circulation.

Not that I am accusing Yum Yum but I have not verified my self and will just sit here until more people pick up on this or I have more time to look it up my self.

[YumYum]

some giant computer glitch occured

This was calculated. What happened is the big money guys bailed out of the market. The little money guys came in thinking this was a buying opportunity. They are going to have their pee-pees handed back to them. I hope that this isn't the end.

[robertwerden]

Ok so tomorrow morning the stock trades that were canceled today will go through at opening bell and because the news got out every broker is being ordered to sell off on opening bell tomorrow for the investors who did not get the memo today.

What a cluster fuck tomorrow is going to be.

[YumYum]

Forgive us ignorant ones, but what does this mean?

It obviously cannot be good.

I'm watching this stuff as it is happening. What it means is that Japan is trying to save the world's currencies. You would think that they would save themselves.

If you buy currencies you drive up their value. That is what Japan is doing right now, while I am typing. This is insanity.

[silverhandorder]

You said dumped... I don't get it tell me more ! :)

[YumYum]

You said dumped... I don't get it tell me more ! :)

Think about this. Japan is heavily in debt. To announce that they are dumping 2 trillion into the money markets means that the fiat system is collapsing. Japan has no business saving the world. This is a drastic measure on their part.

I hope I am wrong, but by next week we could see the FRNs become worthless. This is truly some crazy shit!

[tpreitzel]

Think about this. Japan is heavily in debt. To announce that they are dumping 2 trillion into the money markets means that the fiat system is collapsing. Japan has no business saving the world. This is a drastic measure on their part.

I hope I am wrong, but by next week we could see the FRNs become worthless. This is truly some crazy shit!

Unfortunately, everyone has their finger in the pie while the pie rapidly shrinks. Japan's simply trying to slow the shrinkage and prolong the illusion of prosperity.

[silverhandorder]

So by dumped you mean they put all their "money" into propping up our currency by buying it?

[YumYum]

So by dumped you mean they put all their "money" into propping up our currency by buying it?

They are buying the world's currencies. This is crazy, crazy, crazy shit.

[ARealConservative]

They are buying the world's currencies. This is crazy, crazy, crazy shit.

couldn't "they" merely be an extension of our own PPT directing activities overnight.

[silverhandorder]

Wouldn't this help Japan by getting rid of the dollar?

[legion]

This was calculated. What happened is the big money guys bailed out of the market. The little money guys came in thinking this was a buying opportunity. They are going to have their pee-pees handed back to them. I hope that this isn't the end.

I don't think that's what happened.

I think this was the result of a Federal Reserve stress test. The idea is to cause an impulse of money into or out of the markets and observe how the participants react.

If so, the markets are very resilient to bounce back so quickly. The fed will probably decide to increase interest rates very soon.

[YumYum]

I don't think that's what happened.

I think this was the result of a Federal Reserve stress test. The idea is to cause an impulse of money into or out of the markets and observe how the participants react.

If so, the markets are very resilient to bounce back so quickly. The fed will probably decide to increase interest rates very soon.

Excellent observation! It appears to be a manipulation. This is disgusting.

[Fox McCloud]

Um, links would be nice to back up these claim, yum yum--I'd like to piece this together myself and give out to others too.

[legion]

Excellent observation! It appears to be a manipulation. This is disgusting.


Not as much manipulation as I think a controlled experiment. The first few slides of this lecture may explain better what I am thinking:

http://www.stanford.edu/class/archive/ee/ee392m/ee392m.1034/Lecture8_ID.pdf


Only the Fed would have the resources to pull something like that off and not care what it does to the value of their investment.

Of course, it could have really just been a fluke... stranger things have happened.

[angelatc]

http://market-ticker.denninger.net/archives/2282-Mr.-President-Unplug-the-Fing-Computers.html

[Fox McCloud]

I was just about to post this. Unbelievable! So a market crash occurs and both NASDAQ and the NYSE (to a lesser extent) just say "Nope! Do over!" and cancel the trades? That's about as obvious a manipulation as it gets. Amazing. No one has even come out with an official "explanation" (why does a market drop need an explanation anyway?) but the exchanges are acting as if some giant computer glitch occured when that's not been proven and by most accounts there were no computer problems. When I think I've seen it all, they surprise me.

not necessarily--if the markets believe things to be a certain way, then postponing things will not fix it; it's like China's ban on short selling--they reasoned it'd prevent shocks in the stock market and prevent the market from going down; instead it created more volatile shocks with massive dips when there were sell-offs.

[mikem317]

Anybody buy ACN @ $0.01 at 2:48 and then cash out @ $40 at close? Yikes.

http://cnmnewsnetwork.com/112270/nyseacn-accenture-stock-drops-at-01-computer-error/

[Fox McCloud]

Just a correction--it's 2 Trillion yen, not dollars--which comes out to $22 billion, which is still a lot of money.

[Carson]

Not as much manipulation as I think a controlled experiment. The first few slides of this lecture may explain better what I am thinking:

http://www.stanford.edu/class/archive/ee/ee392m/ee392m.1034/Lecture8_ID.pdf


Only the Fed would have the resources to pull something like that off and not care what it does to the value of their investment.

Of course, it could have really just been a fluke... stranger things have happened.

I was thinking test also but it may have been a warning to someone or some group.

[Pauls' Revere]

The pundits are saying that the markets are going to be violatile tomorrow. I think that this will define what a great nation is. Are we going to help each other or kill each other? I believe Ron Paul supporters will set an example of what the true American spirit is all about. I know I have pissed many memebers on this board off, but I would be the first to welcome you in my home and share whatever I have with you. If this a collapse, of our financial system, we have to stick together. There are more important things in life than money.

That's a hard sell to 300 million + others who believe food comes from a drive through window.

[cubical]

I bought VTV at 29 and sold this morning up 19 points. The 60% rule might be the new standard. I hope so.

[sb10]

Do you realize what is going on here?

The exchanges are by law supposed to guarantee customers the best available ask price when they buy and the best available bid price when they sell.

If something gets f**ked up, the brokers must eat the difference.

For the exchanges to collude together and say those trades "don't count" sounds very illegal.

Expanding On The Crash Yesterday: NBBO (http://www.market-ticker.org/archives/2287-Expanding-On-The-Crash-Yesterday-NBBO.html)

[LibForestPaul]

I don't think that's what happened.

I think this was the result of a Federal Reserve stress test. The idea is to cause an impulse of money into or out of the markets and observe how the participants react.

If so, the markets are very resilient to bounce back so quickly. The fed will probably decide to increase interest rates very soon.

If they had to reset, it means it did not work.

The computer models more likely then not noticed "Game Over", and dumped. They probably brought new models on line, reset, and, lo and behold, everything is fine.

The new "rule" was probably a warning to those who decide they do not want to play ball. Keep your old models, and face charges and prison.

[Pizzo]

Do you realize what is going on here?

The exchanges are by law supposed to guarantee customers the best available ask price when they buy and the best available bid price when they sell.

If something gets f**ked up, the brokers must eat the difference.

For the exchanges to collude together and say those trades "don't count" sounds very illegal.

Expanding On The Crash Yesterday: NBBO (http://www.market-ticker.org/archives/2287-Expanding-On-The-Crash-Yesterday-NBBO.html)



Trades get busted all the time. I could probably buy a nice second home with the money from trades that have been taken away from me over the course of 9 years of trading.

[WaltM]

yay for regulation!