After nearly the whole of the news this morning commenting on big market falls the BBC in all it's wisdom comes out with this straight after!
Greg Wood reports on the effect of the credit crunch on the City. From the trading floors of Canary Wharf to the private equity Houses of the West End, he hears tales of fear, greed and the most serious convulsion to hit the City in a generation as bonuses are cancelled and jobs cut. Is the party over for one of Britain's major industries, and is the rest of the nation going to have to pick up the bill?
OK, the programme must have been in production for quite a while. But if I had shares and had listened in horror to Today, then heard Woods' missive of doom, gloom and imminent 1930's style depression i'd have been running to my stockbroker instead of writing this. More shares then enter the market. If there's a lot of anything in any market the price will drop. Causing more people to sell. The trouble is is that now much of this is computer based. If the market falls below a certain point automated selling cuts in and the price drops even further.
If they'd had a programme ready about the wave of stabbings on London's streets but 3 kids died last night in the same manner they would have pulled the programme to save the blushes of the parents. Can't help thinking it can't have helped jittery market traders and the credit banks listening to this watching the markets drop like a stone.