May 30, 2009
The world has always run on the saying
"don't tell the boss what he does not want to hear".
That used to mean "FIX IT".
Now it seems to mean "LIE to the boss and DEFRAUD INVESTORS".
The country is engaged in a war with a wealthy and geographically distributed enemy.
The best attack has always been one that the enemy does not see coming or know it happened until too late.
The elimination of the uptick rule and the failure to enforce the rule that shares sold short actually be borrowed before the sale seems like too great a weakness for any literate and wealthy enemy to ignore.
Were we attacked ?
Perhaps the rules should forbid selling any shares not already paid for.
The "Bucket shops" in 1907 were outlawed but then restored in 2007 as "derivatives". I believe that history shows us that was a great mistake.
Please restore the uptick rule and institute a SEC division to defend us from what the British in WW1 called "Economic Warfare" (as now played on the internet).