February 28, 2007
It is sad when high profile hedge fund shorters can brag about the ineffectiveness of the SEC in major financial media.
This is a quote from Jim Cramer in his column the evening after a 400+ drop in the DOW.
"But there's another difference now. You can force the market down. The old rules put into place in the 1930s, the ones that were meant to stop motivated sellers from breaking the market are all gone now, taken out by a complacent Securities and Exchange Commission that never dreamed of what could happen today. My sources indicate that a big options trade went awry and some concentrated ETF selling simply cut through this market as easily as a knife through butter."