Mr.G

Wednesday Outlook: Commodities, Emerging Markets

I dont think the govt will actually purchase stocks to stop the slide -but it wouldnt surprise me if they closed markets at this point while they fix some seriously screwed up fundamentals - at the same time closing banks across the nation and limiting ATM withdrawals -
If they do it they will load the deck for a rally when the market reopens

Tuesday Outlook: Commodities, Emerging Markets

there wont be capitulation for all those waiting for one - the fed and the treasury can literally inject 100 billion into seven banks if it like right now or 1 billion to 700 banks and can get more money if they want - this isnt the 1930's where they have to find more gold to back their dollars it is fiat currency and can literally be printed out of thin air (there is an unlimited supply ) - all the CB's around the world will be forced to do the same so- the dollar wont crash - In the last 2 weeks alone (before the new 900 billion auction and the bailout) has been printing at 200% increase - the assets or credit derivatives will be so diluted by the amount of dollars flowing they will just an a small expense rather than an insurmountable problem that you see today - this crises will be drowned in a dollar or whatever currency your central bank happen to print -with maybe the exception being iceland