AIG is down another 34% in the premarket. Something wicked is brewing
over there, despite the "lending pool" announced last night.
There are reports of AIG policy
holders cashing in their policies while they still can. The report I
read was about people in Singapore doing this…either they are more on
top of things over there, or we just don’t report on such stuff
happening in the US, for whatever reason.
Stock futures were, predictably, ramped up in the overnight markets, which is a typical ploy of the PPT…the overnight markets are thinly traded, so it takes less effort to create a boost in futures prices.
Unfortunately, those efforts have now failed, and we are facing a very strong move down at the open.
S&P 500 futures are off 23 points at the moment (9:00)
Gold and silver were heading up in the overseas markets, but, as has been the case for a couple of months now, walls of paper selling happened right at the open of the US Nymex markets at 8:30.
There are rumors that AIG was a big player on the short side in the silver market, so I have my suspicions about what the motives might be for dumping even more massive paper shorts at this time.
The Fed replaced its massive liquidity positions from yesterday with new ones…so the system still have more Fed liquidity than at any time since planes were flying around crashing into buildings.
by phredd