SocraticGadfly: How Wall Street is rigged

July 27, 2007

How Wall Street is rigged

Yesterday’s 300-point loss, followed by today’s 200-point dive, reminded me of this enough to blog about it.

The Street shuts off computerized trading programs whenever a fall gets to be too steep, by percentage of the Dow, but does it do the same when a rise soars too fast?

Of course not.

So, the Dow isn’t such an accurate economic reflection point after all.

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