Here are a few comments on our recent article on speculation that a terrorist cell was behind Thursday's 1,000 point move in the Dow
1. 'An absolutely brilliant theory - and absolute rubbish, of course. Only markets people could believe that Al-Qaeda terrorist cells think like them. The financial mayhem after 9/11 was an unintended consequence. Al-Qaeda are too brutal and unimaginative to work out the complexities of destroying our wealth. And the irony, of course, is that we've done a great job of wealth destruction ourselves'.
2. 'What happened Thursday was simply a 'fat-finger' trade. This then spooked the market, which was already highly nervous because of Greece. There are lots of amazing coincidences in the markets, but conspiracy theories are usually ridiculous'.
3. 'Maybe Osama bin Laden was short feta cheese futures ?'
4. 'When you look at the World Trade Centre bombings and the Madrid train bombings, you'll notice that Al-Qaeda hit multiple targets in a broadly similar time frame. And they were also very public about what they had done. They are not stupid, and are highly unlikely to do a 'try before you buy' dummy run.
If it had been Al-Qaeda, they would have hit multiple exchanges / markets simultaneously, and made sure that the results were so spectacular that they'd be able to crow from the rooftops.
What happened last Thursday was the same kind of thing as the power outages in North America a few years back - it was a case of neglect and incompetence looking for a convenient excuse'.