Market Breaks: After Hours Edition As NYSE Says It Is Investigating Pervasive Broken Trades

Tyler Durden's picture

DJ NYSE Reviewing Possible Bad After-Hours Trades In Many Stocks

PM Eastern Daylight Time May 02, 2011 (MORE TO FOLLOW) Dow Jones Newswires

U.S. stock exchanges said late Monday they are examining whether after-hours trades in more than 50 stocks should be canceled due to potential errors.

Nasdaq OMX Group Inc. (NDAQ) and NYSE Euronext (NYX) said they were reviewing potentially erroneous trades in 52 stocks executed in after-hours trading between 4:57 p.m. and 5:05 p.m. EDT (2057 and 2105 GMT).

The list of trades under review was dominated by shares of major health-care companies, including insurers Aetna Inc . (AET) and Humana Inc . (HUM), drug makers Bristol-Myers Squibb Co . (BMY), Pfizer Inc . (PFE) and Eli Lilly & Co . (LLY) and the consumer-products giant and Dow component, Johnson & Johnson (JNJ).

Nasdaq officials declined to comment on the broken trades. Officials from NYSE Euronext didn't return requests for comment.
Last week trading in more than 80 securities was halted after a problem in Nasdaq software triggered the release of stale market data.

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Phillips Capital's picture

wow wtf.... man i hate exchanges. 

Phillips Capital's picture

put a bet on the gap closing up. let's see if it works for a quick FRN er two. 

tmosley's picture

Markets are broken.

Get physical while you can get it.

Papasmurf's picture

The last print on paper will be zero.  The print after that on physical will be the moon.

kito's picture

gold down 8 bucks on

Papasmurf's picture

That's like ten cents on MSFT.  It's not relevant to the secular and long term situation.

kito's picture

is it just me or are the comments sections on zh a little light since the plunge of silver?

Robslob's picture

Busy buying later

Mec-sick-o's picture

ZH commenters = AgPPT

dalkrin's picture

I bought last week after getting paid, at the standing price of almost 50 dollars an ounce all told, and yet I am not regretting my decision, even with the trapdoor fall.  I am glad other ZHer's out there are currently BTFD to give silver the boost it deserves. 

We nameless multitude are hard at work to bring the veiled secret manipulations to justice.

string's picture

Gold plumets as world realizes it is useless, valueless.

Spitzer's picture

buy lumber futures......

BlackChicken's picture


Compared to what, the fine linen coming from the non-Federal no-Reserve. 

Just FYI there is this thingy called "intrinsic value" you might want to look into that; just a thought.

string's picture

Intrinsic to what exactly?

The only value of that junk is what someone will trade for it at a given point in time.

BlackChicken's picture

Obviously you have no fucking idea... 

string's picture

Correct. Don't pay any attention.

narapoiddyslexia's picture

Let me try to explain to you folks. Gold's and silver's value arises from their utility as a medium of exchange. You seem to have a hard time grasping this. An object that serves as a medium of exchange has an intrinsic value, just like fissile uranium has an intrinsic value because it can generate heat. Seriously, any object that is useful possesses an intrinsic value. Utility is value. Gold is the best medium of exchange there is, and about 7000 years of history supports this assertion. This is in part because gold and silver are relatively inert, scarce, and malleable. This makes them highly useful as mediums of exchange, and a medium of exchange possesses as much utility as anything for which it can be exchanged. Thus, while water is necessary for life, and while you can't drink gold [unless you're Crassus] you can exchange gold for water. You can exchange gold for anything, and thus gold is more valuable than anything. Let me repeat - a medium of exchange is a highly utilitarian object, and in a working economy it is the most valuable thing because it can be exchanged for ANYTHING. Fiat is worthless as it can be created at the whim of governments, and it is. All fiat money is therefore inherently worthless and doomed to eventually fail. When the dollar fiat finally fails, it will fail very quickly. Gold and silver are also freedom, as governments control you more by way of your use of fiat. The government takes your wealth merely by printing more fiat. The argument that there isn't enough gold and silver to serve as a medium of exchange is bullshit. Go listen to some of Jim Rickards talks.

string's picture

"Gold is the best medium of exchange there is, and about 7000 years of history supports this assertion"

Except when it isn't.

EscapeKey's picture

Why didn't you just post "I'm rubber, you're glue"? Your post essentially amounts to the same reply. You post no supplementary evidence either way, no examples, no theoretical principles, not even some half-assed anecdotal personal experiences.

Fact is that gold has historically been great as a unit of account, a store of value, and a medium of exchange. In the short run, there might have been more liquid instruments, but the opposite is most certainly also true - i.e. the Brazilian Cruzeiro is basically worthless - but the gold buried with the pharaohs is still worth a fortune.

string's picture

Thanks. I'll use that next time I hear the same PM crap repeated adnausem.

And when the gov't confiscates or taxes the shit out of your stash, then what?

Or, when you wake up tomorrow and your little pile of yellow metal is valued at .5 of what it is tonight?

Even Rickards said this week on KWN 'expect volatility' in the PM markets.

Good luck realizing your holdings when you really need to use them. Because that's right about the time everyone else is going to be trying to convert their golden junk into useful goods.

Ricky Bobby's picture

+10 Narapoid.  Elegant, clear and concise explanation. Fucking sockpuppets and trolls are merely instruments of deceit.

DeadFred's picture

Paid to post lies.  Likely they were polysci or rhetoric majors who weren't good enough to find jobs in politics.  For them at least it pays the rent and keeps them from sucking at us through welfare.

Id fight Gandhi's picture

Well go complain about, travelzoo, chipole.....

All junk

tmosley's picture

Intrinsic to gold.  IE it is limited and rare.  Economic calculation engines like humans will invariably apply intrinsic value to gold, at least, so long as there is trade of some sort.

Gold is useful as a tool for promoting trade, just like a hammer is useful as a tool for putting iron spikes into wood.  It's value is intrinsic, but relies on the presence of one or more economic calculation engines.

string's picture

I phrased the question poorly.

There is no intrinsic value other than what someone else is willing to give you for it. It is all perception.

Period. End of story.

A potatoe has intrinsic value.

Sure, a 'value' can be applied to it as a medium of exchange, as you say. I wish all the gold bugs the best of luck when trying to convert your holdings to something useful when the time comes.

Good luck hitting the bid. And, if you live where I live, someone will just shoot you in the head and take it from you if you are holding physical.


EscapeKey's picture

You mean, unlike the respective currencies of Argentina, Brazil, Russia, Yugoslavia, Germany, Greece, Nicaragua, China, Zimbabwe, France, Austria, Hungary, ... post their hyperinflations?

If you kept any of their notes, you'd have been wiped out. So what if the liquidity of gold and silver isn't that of contemporary fiat currency.

string's picture

Or in the US where they can and have confiscated it. D'oh.

Are you mentally prepared to hold it back down to $600/sh? Less?

Way too many ppl on the USD/Hyperinflation side of the trade right now.

BlackChicken's picture

That is funny.

If it went back to 600, I would still be up almost 200%.


Way too many people ignoring the fact that the system has broken, and perception is shifting more quickly by the day.

EscapeKey's picture

The reason why it was confiscated was due to the rapid drawdown in reserves, not because of its relative value. Read up on history.

If it heads down to $600/oz, then we're stuck in a massively deflationary collapse. Since every problem thus far has been "solved" through printing money, I sincerely doubt this is the track we will ultimately travel.

tmosley's picture

You should read up on that.  They got less than 5% of the total amount of gold held by private citizens last time, and that only because it was held in banks.

No gold in banks this time.

Try again.

BlackChicken's picture

No Problem with the phrasing thing, we all do it.

The intrinsic position you are taking might paint you into a corner.  We all wind up trading every day.  I trade some labor/work for linen with ink and funny words on it , in my case United States Notes.  Then I trade these coupons to someone else for real tangible things I might want.  If I use gold, silver, or coupons it is still a trade.

I have successfully traded my metal to those with stuff I wanted many times and have done quite well doing so.  My last trade involved a whole range of reloading tools for one single coin.  Brass, copper, and lead are good metals too, and have not appreciated as fast giving me the perception of a good arbitrage opportunity.

Our whole system is perception, and less people every day are willing to perceive the 'dollar' as holding value; this is why the metals have moved up in price (or should I say one of many).

Sorry to hear you live in such a shitty area.  My family lives in Alaska, the right to conceal carry is alive and well here, and anyone who tries that on me is going to have a few 200 grain 10MM slugs flying right back at them.

Are you really Dan Quale?  I ask this because you both spell potato the same...LOL.

tmosley's picture

You are basically arguing that humans place no value on something that can not be endlessly reproduced, specifically the value of such a thing for use in trade.

You might as well argue that humans don't trade.  It is a stupid argument that ignores reality.  No amount of "phrasing" will get you past that axiomatic reality.

AmazingLarry's picture

Something tells me they'll shoot you in your head for your "potatoe" before your gold coins.

You heard about the guy who stood on the beach and tried to sell real gold coins to random people and couldn't get more that $50? Just cause the mindless slobs wandering out there are clueless doesn't make the precious "valueless."



rich_wicks's picture

Intrinsic to what exactly?

The only value of that junk is what someone will trade for it at a given point in time.

Tell me.

If I offered to give you 100 million dollars to go into time suspension chamber for 50 years, and assuming you were willing to do this and leave everything behind and I offered to either give you the 50 million dollars in $100 bills or in gold at it's current price - which would you pick?

The irony here is everybody knows the dollar is worthless currency, even you do - you're just thinking it's in a bubble because it's finally correcting off from it's lows after 20 years.

jedimarkus's picture

copper, lead, brass...

JW n FL's picture

hey.. hey! thats my line thank you very much!

J/K you have great tast.. throw in some tungstun core.. and you can have a real party!

serotonindumptruck's picture

"...throw in some tungstun core.. and you can have a real party!"

Or you can try a little dab of Hg in a hollow-point, and a mere flesh wound is fatal within a few hours.

faustian bargain's picture

It is valuable as currency/store of wealth because it is useless, but unlike printed money, it has limited supply, is durable, fungible, etc all the reasons you should know by now and everyone else has known for thousands of years.

AVP's picture

There must be only one person in your World, and that's you.

When silver hits $16 I'll take note...

When gold hits $875 I'll take note...

Not everyone bought in on the highs on this board. And even if they did

they'll be better off for it in the long run.

BTFD, newbies and bugs!

Spitzer's picture

I need a crash in the gold price. I have too much cash. waiting...................

AldoHux_IV's picture

Good thing the SEC is on the case-- nothing to worry. The number one terrorist is 'buried at sea' the other known terrorists: fed, IMF, Worldbank-- centrally planned authoritarian regime is at large but it's ok because slavery is better than living in a world filled with terror.

TroyPDX's picture

This whole day has been surreal

A Man without Qualities's picture

It seems to me that most days are surreal at the moment.  


"When you have eliminated all which is impossible, then whatever remains, however improbable, must be the truth."