Got this from a SH friend...Its very likely DML is in there somewhere as well.
Meltdown & Redemption time
CLLISNOGOOD3on 9/30/2008 8:31:04 AM If you've survived the meltdown so far without pulling your hair out, congrats; your doing better than many hedge fund managers out there! Speaking of Hedge funds, many are now putting heavy selling pressure on equities they hold in order to cover redemptions. How does that work? Well, hedge funds are typically funded by accredited investors. These investors provide cash to the funds who in turn use their "skill" or "luck" in most cases to turn profits. Typically, there is a freeze period where the investors in the fund cannot redeem their investment. However, there are periods in time where it is possible to call in a "redemption", or a demand to the fund to sell and return cash.
This is what we are seeing in a number of stocks right now. When redemptions come in, Hedge funds don't use logic...they just sell at market, and in huge quantities putting downward pressure on a stock. Same thing when they buy. The current rumour on bay street is a couple of Canadian Hedge funds have been caught in BIG redemtions, and are down big (likely failures) and putting pressure on WTN (Western Canadian Coal) and GCE (Grande Cash Coal). I suspect the same thing is happening with PHC (Phoenix Coal), as sector hedgers typically buy multiple assets within sectors.
In any case, be aware of this secretive bunch and watch the overall market sentiment. While many are probably just waiting for the bell to ring so they may exit, others will notice that while the Asian markets followed our crash (to a lessor degree), European markets actually reversed and went positive - knowing that the US will not let it become the end of the world (but more than happy to make people feel like its the end of the world). Funny how they use fear every election. Last couple of times it was terrorists, this time wall street. I honestly can't remember the last time FEAR wasn't used as political tool in the US federal election, hmmmmm