Another Unthinkable Market Event

Is the unthinkable going to happen? What do I mean? How about the government closing the stock exchange to try to induce calm in the market. I am not talking about a circuit breaking close for a half an hour. I am referring to a multi day or week long halt. It's not as far-fetched as it sounds, Roosevelt closed the banks in 1933.

Here are some major historical closings for the NYSE:

July 31 - Nov. 27, 1914 - Outbreak of World War I.

March 6 - 14, 1933 - Banking holiday.

September 11-14, 2001 - Terrorist Attacks.

I'm not saying that closing the exchange will work, as it may have the opposite effect, and many of these stocks trade off the exchange or overseas.

The full list of closings.

Comments

[MarvinMBA:]

Closing the market will just create more apprehension.
There is nothing to do but let the market clear even if we have
to take another dive. I suppose its too late to say that this administrationshould have seen this coming a few years age but its too late to cry now.
The best thing that the Fed could do is to guarantee all loans that
meet minimal requirements so that the banks can get the economy going again. Increasing the banks equity thru cash purchases of new stock direct from the bank is only the start. Loan guarantees are also needed...Are you fed brains listening???

2008 Oct 10 01:35 AM

[Egg:]

What about an uptick rule?

No...not that shorting related one.

A new one. No selling a stock unless there is an uptick.

Think about that........Stocks could never go down again!

But really, the first comment was right. Shutting down the market would only make matters worse. The market just needs to run its course. As painful as that course is....we're going to surive in the end.

2008 Oct 10 01:44 AM