It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
Originally posted by parry noid
As well To my friend who pointed out something about me noting giving any more info on missing money heres what I found.
2.3 Trillion Dollars missing
how do you like them apples!!!!!
Originally posted by sn00daard
Or what other big news might have an impact of this kind on the market? Terrorist? ET's?
What is clear is: someone thinks they know something. Maybe the rest of us will too soon enough?
Financial Sense commentary
Financial Sense Commentary
There is currently several billion dollars in option bets on a global basis with the speculative premise that we will see a major drop of 15-25% or greater in the next 21 days. These are not just your run of the mill speculative option-plays these are very specific bets of a magnitude never seen before ... And these ...mega-trades are escalating…
...just last week someone sold short “naked” 61,730 SPX 700 calls....
I eventually did find the offsetting trade as it appeared at the SPX 1700 puts strike where 61,740 contracts were purchased long. If I have done the math right this trader/organization has roughly $3.7 billion in premiums sitting in their account and a massive short position worth a huge amount of money if the market tanks; now just ask your-self how many players are there that can risk and leverage this type of play (GS, BSC, LEH are a couple that come to mind)! ... Now if this trade was only a blip, it could be easier to ignore or discount... But ... it is spreading.
Another entity bought 245,000 September puts on the 2,800 strike on the DJ Eurostoxx 50 on 8/16; and they did so when the index was at/around 4,100 at the time...
...somebody else bought 10,250 puts on the Nikkei 225 Index at the 11,500 strike; while the Nikkei is currently trading around 16,000. ... their expiration on 9/14.
Monday CNBC reported that an investor or investors had bought more than $500 million in out of the money put options on the S&P betting for a further decline of 5% to 10% before September expiration.
...another trader sold 10,000 contracts on each of 12 strikes (120,000 contracts) of deep in the money SPY calls with an average price of $6500 each. That is $780 million in premium received and a huge risk if the market continues higher. The strikes were between $60-$95 when the SPY’s were trading between 146-147; ...
If it is directional and not a cash crunch spread due to margin calls or the need to raise quick cash they only a few scenarios make sense:
... most likely is ... strikes [against] Iran!
The next scenario is that we get hit with a significant terror attack! ...
The last scenario has a major financial institution falling apart over the next two weeks. Just imagine if a Bear Stearns or Lehman Brothers were forced to file bankruptcy because of the subprime/slime contagion; the markets would react as if a bomb went off, especially in the financial sector; as who would trust any bank or brokerage firm there would be a mass exodus for the door. BSC and LEH both report earnings 9/13,... (emphasis mine)
Citi Research Discusses a Dow Crash Scenario
Citi Research Discusses a Dow Crash Scenario
The report is from CitiFX, or Citigroup Foreign Exchange, dated August 24, ... I wish I could just post the report with its great charts, but it is copyrighted, so I will quickly boil it down.
...the CitiFX technicals team looked back at 1987, 1990 and 1998. In looking at '90 and '98 here's what they say:
"With the 2 prior occasions averaging 21.7% down over 47 trading days the sweet spot (If this correction goes according to plan) would be to see the DJIA at just below 11,000 on or around 19 Sept 2007 and no later than 11 Oct 2007."
The report concludes: "Bottom line we hold our view that these are trying times and that the worst is not over. We also hold our view that lower yields will be seen in the months ahead ... without the Bernanke PUT we may have to entertain the idea of the Bernanke crash."
Originally posted by Gools
IMO the third scenario is the most likely. BSC and LEH are two of the parties that could place such a large bets and who also have access to "insider information" about their own upcoming earnings report.
. . . In another irony...mass layoffs in the banking sector are reported to begin after the Labor Day weekend.
Originally posted by Skidz
I dunno here. If there was this massive amount posted and a specific date mentioned; wasn't there talk of China selling off their American held stocks in one massive swoop to derail the economy?
It was a couple of weeks ago. Still learning the system here but someone is a helluva lot faster digging info than I am.
"Oderint Dum Metuant!"