April 22, 2009
I feel it was a huge mistake to eliminate the plus tick rule.It alowed a new kind of terrorism where hedge funds were able through agressive short selling on minus ticks and bidding up of the credit default market to drive down the price of almost any stock they chose. Capitalism has never had an assault like this and now we are paying the price with huge government bailouts and vastly depeated pensoin funds.The plus tick worked beautiffuly for 70 years and must be brought back. The ultra ETF's must also be eliminated because they also create excessive voatility. We have eliminated the concept of investing. Everything has been turned into a comodity. If people don't invest in stocks for the long run the cost of capital for corporations will remain excessive and in turn unemployment will stay high. I feel that either of the two proposals on the bringing back of the plus tick rule is fine but I would also like it done in conjunction with a circuit breaker.