here is the most laffable piffle of the week, allegedly coming from a “Roger SchultzThe Nail In Wallstreets Coffin” posted to numerous yhoo msg boards, along with my commentary:
As the Obama administration helps our largest banks tread water in an ocean they themselves created, a tidal wave has been spotted just over the horizon.
(actually a combination of factors ranging from crazed congress people, to irrationallly greedy retail borrowers to annnybody trying to figure out a way to create jobs while losing jobs combined with an absurdity of math logic –delta delta, when either delta is not factored–collapsed the system)
A new, stock clearing house will open in the U.S. in March that will right many of the wrongs perpetrated by the market makers, brokers, and hedge funds conducting business on the NASDAQ and OTC markets. The NASDAQ OMX has been approved to start the clearing of stocks next month. Currently, 92% of all stocks in the U.S. markets are cleared by the DTC, which is an arm of the Federal Reserve.
(approved by who??? and since nasdaqomx.com says it has been around a lonnng while….what;s the play here?)
The problem for the market makers, brokers, and hedge funds, is all of their NSS (naked short selling) will have to be covered when companies jump to the No Nonsense NASDAQ OMX from the DTC, that for years looked the other way when this practice occurred.
(The SEC is the one who, since 1934 has mandated naked short selling when “necessary.” there are often arguments about when “necessary” but a naked short is not illegal…depending…)
A naked short sell is perpetrated when a buy order is placed by an individual for a stock and a market maker pulls those stocks out of thin air and puts the imaginary stocks into the individuals broker account. (that’s not the only time, but it is the most legal time) This practice has bankrupted countless marginal companies in the last 8 years. Many, if not most market makers are owned by the large banks and brokers on Wall street. (most mkt makers have relationships with banks and clearing houses. dtcc is the cap for clearing houses, and likewise clears.)
This practice of naked short selling artificially deluded the outstanding shares, making each share worth less causing a death spiral. At this point the brokers and hedge funds sell short, betting that the stock would further decline, which was a no brainer of course. (shares don’t really get deluded. shareholders do.)
Almost all of these affected companies did not survive, at least in their original form. However, the companies that did survive this savage market manipulation will soon leave the DTC and join the new clearing house of the NASDAQ OMX. I know of one CEO that spent over 750K of his own money to save his shell OTC company from this type of manipulation and will most likely have a very healthy profit for his troubles.
(>>>>shell<<<<< company??????????? shell phreaking company??? in other words somebody did a 1502c on zilch, and when the mms saw it weas zilch sent the pig into the ground before he could use it to suck $$ up from innicent retail buyers to gain something workable??? ooooo poor baby.
When this transpires in March, ALL OF THOSE AIR SHARES MUST BE COVERED by the brokers or market makers AND all those hedge fund short sells MUST BE COVERED AS WELL.
(reallly?? who says?? i mean, like….who says???? last time i looked there were share of chrysler (the one that went bankrupt) that hadn;t cleared yet…)
This will put the nail in the coffin of dozens of hedge funds, markets makers, and brokers throughout the U.S. The chickens are finally coming home to roost and they’ve grown to the size of an Emu.
(this will allow tonnes and tonnes of naked shorting when corrupt whore stock ceos announce such a change in clearting agency as a way to pump another tranche of treasury stock.)
(and now you know why some anonymous yhoo poster would be disseminating this piffle all over the boards of stocks trading <1… cause the way to stop naked shorting is to stop buying. shorts need retail buyers more than corporate treasuries do….see the last posting about “what is an investor?”
The greed imbeded in our stock market will be proved to have been unprecedented in human history.
odd…i had thought the greed was in the human heart, where it can act.
Posted under business
This post was written by admin on August 16, 2010
