Tuesday, January 22, 2008

HSI dropped 2000 pts; FED's 75 basis pt cut

Market continued the downslide today. Let's take a look at the damage done:

1. STI dropped 50 pts to close at 2866 (1.76%) with a volume of 2.75 billion. Was much much worse, around 4-5% until the closing when it suddenly shot up.

2. HSI dropped 2061 pts (8.65%) to close at 21,757 pts. This is the single biggest drop i've ever ever seen HSI fell. Ever.

3. Shanghai dropped 7.22%, india at first dropped nearly 13%, then the whole exchange stopped trading. India ended up 8.65% down.

Brutal selldown. Haha, really the worst I've seen.

Fed held an emergency meeting to announce a rate cut of 75 basis point before Dow opens. Unfortunately, it didn't help stem the bleeding. OK, maybe a little. Dow is now at -240 (2%)...compared to everyone else, this is just insignificant. I think tmr might see a rebound...at least a short one. Fed might cut more next week. Might.