Original Source, PBS Newshour (includes full transcript) HatTip to Dave Lull
Love the ‘Fat Tails’ info graphic. (Note, for some reason sometimes the embed
doesn’t show, if you don’t see a video window on this post, try refreshing the
page. Otherwise, watch it at the original source link above.)
Nouriel Roubini also has a new book you might want to check out.
Popular NNT / Roubini CNBC clip from August 12, 2009.
[youtube=http://www.youtube.com/watch?v=D4GsCXnL9LE]
[youtube=http://www.youtube.com/watch?v=A5qbo7i_VMQ&NR=1]
I was a trader for 21 years, and anyone taking markets seriously needs to consider the following… You remember the day when Kervial was liquidated? The SocGen rogue trader… ‘the hero’ in France. They sold $50 billion dollars worth of stock. How much did capitalization drop world-wide, based on that? Markets went down 12 percent! With a $50 billion order, you drop markets by 12%. We lost 7, 8 Trillion. A huge amount. So it tells you, don’t pay attention to stock markets. They’re driven by the marginal buyer. It means nothing. Short term markets mean nothing.