Regulatory changes, but firms are also changing their own Risk Management practices in some sense in some cases in a more conservative direction. We have seen an increase in algorithmic and High Frequency trading. That may be leading to changes in market trading practices. In the Corporate Bond market there have been increased reporting requirements that may be reducing the desired sizes of trades. All of these factors could potentially account for whats going on but we have not yet been able to figure out what the contribution of each is or just how serious. The concern is while daytoday and normale time of most measures of liquidity seem to be roughly unchanged, there is a concern in stress situations it may be and weve seen some cases where its less available. In any market you need risk and liquidity, do you not . You dont have a market would you the . We need liquidity in markets. Maybe even highleveraged banks were exposed and providing high liquidity and vulnerable if liquidity
lack looks like we re on tr do it. magic number for the dow, 14,462.1, we re way above that. the stock market might not like it if black rock s rick reider gets his way. we ll talk to him. also, developing corporate stories, the fallout continues for jcpenney after that stunning ouster of former ceo ron johnson we told you about first last night here on closing bell. the stock is under pressure right now and now the company s board is feeling the heat. we ll get to that coming up. and plus a scandal at accounting firm kpmg. the feds are now investigating a senior partner for leaking nonpublic information, allegedly. it s an insider trading story that has the potential to get a lot bigger. we ll have the latest on both of those stories, coming up. what a story on herbalife. they re continuing to develop. let s check the markets as we approach this final hour on wall street. the dow jones industrial average, up 101 points. the momentum on the side of the bulls, once