Monday, July 7, 2008
Knee-jerk solution hits the buffers
When you mishandle the economy you go into fire-fighting mode - and start another series of problems. The new FSA rules to reduce shorting can lead to the identification of successful shorters, causing others to pile in and achieving the opposite of the intended effect. Now other problems with the application of the rules are emerging - but don't worry the FSA is keeping things under review and their (in)famous 'light touch' is being applied to the enforcement of these rules.