j.p. morgan first to figure out the price they want ahead of time they create the algorithm they release the algorithm onto the floor of the exchanges and then the algorithms take prices to the pre-determined levels that were set ahead of time ahead of the trade and to do this you need overwhelming computer power as a says seventy percent of the trades are done by computers to create prices that are pre-determined and that of course is the very definition of insider trading and market manipulation well the c.m.e. was in the news recently on our show when we talked about them hiking margin requirements on silver and this was just before the what twenty five percent correction in the price of silver in may now silver is in the next headline maxed speaking of this volatility and c.m.e. silver may rebound to test one hundred dollar level citi group says technical analysis silver may more than double to one hundred dollars an ounce if the current bull market follows similar patterns seen between one nine hundred seventy one and one nine hundred eighty according to technical analysis by citigroup

gold topped $17,000 an ounce for the first time and j.p. morgan is predicting it could hit $2,500 by year end. precious metals expert william rhind also expects the rally to continue because investors view it as the safest of assets. it doesn't have any counter- party risk. so, unlike a currency, unlike a bond, nobody issues gold. so, therefore, there's no risk of a default in gold. >> reporter: it's not clear how markets will react tomorrow, but experts say it could take many months-- even years-- to know the full extent of the fallout from the ratings downgrade. erika miller, "nightly business report," new york. >> suzanne: joining us now from the c.m.e. in chicago, jeff saut. he's chief investment strategist at raymond james. jeff, welcome back to the program. >> what a day. >> you bet. >> so what's the individual investor do on a day like this? >> well, this feels re like the end of a decline than the beginning of a whole other leg down. we counselled people to raise some cash back in february and march and are actually starting to put some of

j.p. morgan chase is cutting its fourth quarter estimate for the u.s. gdp. it comes on the heels of morgan stanley's decision to slash its global growth forecast. j.p. morgan is cutting its first quarter 2012 gdp estimate from 1.5% to 1/2%. ashley, back to you. >> all right, diane, thank you very much. a number of u.s. banks have been hard hit by the recent volatility in the markets but some of them are remaining upbeat in this time of crisis. fox business' jeff stopped by one of them and has this report. >> exclusively here on the fox business network, the president and ceo of fifth third bank chicago, an interesting time to be in the banking business and an interesting time for you to have just launched a campaign, it says, we're lending. we're not going to wait for the economy to improve. we're going to get out there and put the money into the market. do you have any second thoughts of what this market has done over the course of the past week or two? >> absolutely not, jeff. we've always been committed to lending much it's a big part of our business and we always will be going forward and it's not a new strategy for us again, we want to be more proactive with our clients t

j.p. morgan fell almost 3%, and insurance giant travelers fell 1%. telecom and technology stocks were the leaders today, hewlett- packard saw some buying for the first time in several sessions. h.p. shares were among the most damaged during last week's selloff. the stock lost 20% on friday. bit of a rebound today by 3.6%. they were hit by a disappointing outlook as well as h.p.'s restructuring and decision to get out of the personal computer and smartphone business. the irony is today, it began promoting a new desktop computer. the fall of tripoli helped push oil prices down today, but it wasn't necessarily bullish news for energy firms with operations in libya. investors still trying to wait and see. marathon oil, hess and conoco- phillips all have business in libya. their shares were mixed with fractional moves. export terminals and pipelines were damaged in the six-month civil war, so its uncertain when operations could resume. meantime, u.s. gasoline refiners saw selling as oil prices fell. that can hurt their operating margins. also questions about their operations in libya. marathon's refinery spinoff, marathon petroleum, fell almost 7%. holly

jobs since the first of the year, they're a drop in the bucket compared to the nearly six million manufacturing jobs lost in the past decade. bruce kasman, global chief economist of j.p. morgan, thinks long-term prospects for manufacturing are favorable, but short-term prospects are dicey. >> it's tied to how consumers are feeling about the world. it's tied to the mix of very easy fed policy and, increasingly, fiscal policy turning to tightening will deliver. there's a whole host of things here. unfortunately right now we're going through a soft patch. we might be a little ways away from seeing growth get back to anything we see acceptable. >> hello. >> reporter: sandra westlund deenihan might disagree. she's the president of quality float works in schaumburg, illinois. in the past year, she's hired seven full and part-time workers, about a 30% increase in staff. deenihan says quality float works has a backlog of orders for mechanical floats into next year, after expanding sales in the middle east. she's confident she can boost sales and staffing even more, but is concerned increased government regulation could derail her plans. >> if they come down the pipeline for business

first-ever downgrade of the u.s. credit rating and the market drop with economists paul krugman and kenneth rogoff and terry belton of j.p. morgan. >> ifill: then margaret warner examines the deadly helicopter crash that claimed the lives of 30 u.s. forces in afghanistan over the weekend. >> woodruff: plus, we have two education stories. special correspondent john tulenko reports on the cheating scandal that rocked atlanta's schools. >> the pressure to boost scores by any means necessary is so great that teachers think they have to get those scores up by hook or by crook. >> ifill: and the president issues a new executive order to circumvent congress and revamp the "no child left behind" law. >> where there's a high bar, the folks who are doing the right thick for children, we want to give them a lot more flexibility, frankly get out of the way and let them hit that higher bar. >> ifill: that's all ahead on tonight's newshour. major funding for the pbs newshour has been provided by: >> oil companies have changed my country. >> oil companies can make a difference. >> we have the chance to build the economy. >> create jobs, keep p