2X2 Analysis of The Near Crash of May 6th 2010

Five days after the near market crash of May 6th, we still don't have any answers or even plausible lies about what happened even though micro second trades are routinely logged and cleared AND ostensibly erroneous trades during that same time can somehow be miraculously reversed. Yet the data on root cause for an event that almost destroyed our economic system as we know it seems MIA.

Let's have some four quadrant fun.




X AXIS: The event of May 6th was either a coincidence (a confluence of loosely connected but interactive events) or a premeditated act (most likely a demonstration of power).

Y AXIS: The event was either preventable or unforeseeable.

QUADRANT A: If it was premeditated and preventable then we know who and what happened and we should have the facts by now. But we don't, so I don't think it is "A".

QUADRANT B: If it was coincidental and preventable, it must be that regulating agencies are so ignorant of how the markets work that they did nothing to protect the basis of our economic foundation.

QUADRANT C: If it was coincidental but unforeseeable, why didn't regulating agencies have the contingencies in place so that when the markets move beyond certain control limits (for whatever reason) the stop gap measures prevent a meltdown.

QUADRANT D: This was a premeditated demonstration of power over the market that was so sophisticated that it was unforeseeable and perhaps inconceivable upon which case the only possible response is capitulation to the victor.

What is your vote? A B C or D

Do you think a $1T EU Bailout over the weekend (bailout of banks not of countries and their people) was ransom paid?