Typo Rocks the Market

May 8, 2010

Finance

Financial Crisis

Financial Crisis

This week, I have to hide my schadenfreude for the equities market as it was a sweet week for rates and housing in general. Even with some good reports on the jobs front, bad news in Europe and a crazy fluke provided what amounted to jet fuel to the lending market with rates dropping to 2010 lows.

European Financial Crisis

The primary driver this week was the Greek debt crisis in the European Union. Although it had looked as if an agreement was close with the European Central Bank, unrest in Greece arose in response to proposed austerity measures. The resulting violent protests as well as a general anger among the population of Germany and other financially stronger countries showed that our friends across the pond have a long way to go in resolving their own issues. Additionally, new fears arose that the crisis could spread further into Europe with a future crisis in Portugal emerging as an especially troubling possibility.

Typo Caused the Dow to Drop

The most interesting event this week occurred on Thursday with a whopping drop in the Dow resulting from an apparent mistake on the part of a trader. This individual allegedly mistyped an order initiating a sell request for 1 billion shares of Proctor and Gamble as opposed to intended 1 million. At one point, the index dropped to 9869. This further improved rates, so if you locked today then you did very well indeed.

We would like to thank Dutch Dennis for kindly sharing today’s photo via the Creative Common’s License.
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About Doug Katz

As the Senior Mortgage Banker and Sales Manager for Chicago Bancorp, Doug not only originates loans for his personal business, but also oversees affiliations with banks and other financial institutions that depend on Chicago Bancorp to meet their client’s lending needs. In this role, Doug directs the day-to-day mortgage sales operations of over 25 branches in a multitude of Chicagoland’s diverse communities. He brings to these relationships a wealth of industry experience and a dedication to an exceptional client experience that has established Chicago Bancorp as Chicago’s pre-eminent mortgage solution providers. Prior to joining Chicago Bancorp, Doug attended and graduated from West Point. Upon graduation, he was commissioned as an officer in the United States Army Artillery, where served 5 years in numerous roles and in various deployments include service in Kuwait. In addition to his Bachelor’s Degree from West Point, Doug holds an M.B.A. from Loyola University Chicago, where he was also inducted into the Beta Gamma Sigma Honor Society. He also served as President for the West Point Society of Chicago from 2003 to 2005 and still serves on the Board of Directors. When not working, he spends his time with his wife and three children in their hometown of Oak Park, as well as pursuing his passions for fitness, cooking and the banjo. Doug can be reached by phone at 312.738.6079, by email at doug@chicagobancorp.com, on his own blogs, BankerDoug.com and Vet Money Matters. He's also on LinkedIn.

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