by Calculated Risk on 5/26/2010 03:40:00 PM

The euro was down under 1.22 dollars as investors apparently reacted to a story in the Financial Times: China reviews eurozone bond holdings

China ... is reviewing its holdings of eurozone debt ...

Representatives of China’s State Administration of Foreign Exchange, or Safe ... has been meeting with foreign bankers in Beijing in recent days to discuss the issue.

Safe, which holds an estimated $630bn of eurozone bonds in its reserves ...
excerpts with permission

And this brought out the Dow 10K hats with the Dow closing at 9.974. Party likes it's 1998!

Click on graph for larger image in new window.

The first graph shows the S&P 500 since 1990.

The dashed line is the close today. The first time the S&P 500 was at this level was March 11, 1998 - over 12 years ago.

For investors this has already been a "lost decade" and more ...


This graph is from Doug Short of dshort.com (financial planner): "Four Bad Bears".

Note that the Great Depression crash is based on the DOW; the three others are for the S&P 500.