May 19, 2010
Stocks Fall as Germany Tries to Solve Problems on its Own
U.S. stock index futures are trading lower overnight in reaction to Germany’s plan to curb naked short-covering in some financial instruments. Traders are mystified by
the action by the German government who once again are demonstrating that the European Union leaders do not have a grasp of the situation in the Euro Zone.
Germany seems to be acting alone in its effort to stop the slide in the Euro which could be a sign it’s preparing to wash its hands of the entire situation. Once again
the leaders are ignoring the primary causes of the problems in the Euro Zone and attacking the market participants. The easiest thing to do is to blame the hedge funds and the short sellers; the
hardest thing to do is to make reasonable attempts to fix the lingering debt problems in the Euro Zone.
The June E-mini NASDAQ is getting hit particularly hard in the pre-opening market. The falling Euro is helping to raise …
