Thursday, August 28, 2008

Plunge Protection Team, Pakistan Style

by Bill McBride on 8/28/2008 12:49:00 AM

From Bloomberg: Pakistan Sets Floor on Stock Prices to Stop Plunge

Pakistan set a floor for stock prices on the benchmark exchange, moving to halt a plunge that has wiped out $36.9 billion of market value since April.

Securities can trade within their daily limit of 5 percent ``but not below the floor-price level'' of yesterday's close ...
Ahhh ... stock prices that can only go up. That is a real PPT (Plunge Protection Team).

This is funny, but doomed.