Posted on 09/30/2008 5:26:48 PM PDT by PJ-Comix
Remember all the doom and gloom warnings that if the $700 billion bailout bill did not pass yesterday that we would be facing an immediate financial collapse? Well, the bailout bill didn't pass yesterday thanks in large part to House Speaker Nancy Pelosi's partisan rantings in that chamber. So today comes and instead of financial collapse and panic, the stocks surge as you can see in this Associated Press story. However, the fact that the economic sky did not fall hasn't kept the AP Chicken Littles from continuing to plug for that bailout bill (emphasis mine):
NEW YORK (Sept. 30) - Wall Street snapped back Tuesday after its biggest sell-off in years amid growing expectations that lawmakers will salvage a $700 billion rescue plan for the financial sector. But the seized-up credit markets where businesses turn to raise money showed no sign of relief. One day after the biggest point drop in its history, the Dow Jones industrial average rose 485 points, or more than 4.5 percent - the latest in a string of extraordinarily volatile days in the stock market. It was third-biggest point gain in the Dow's history and the biggest percentage climb in the Dow in six years.
Or maybe the stock market surged because the highly unpopular bailout bill failed to pass. That is an interpretation that AP doesn't seem to even consider.
(Excerpt) Read more at newsbusters.org ...
PING!
and it hasn’t stopped the McCain/Obama/Pelosi/Bush/Paulson chicken littles either.
ROFL.
And to think that thing could’ve passed.
*shudder*
His parting shot depends on who wins the election.
But don't try telling ideologues anything about reality...
Reality vs. The Narrative. My money’s on reality.
I’m hoping for a series of incremental bills requiring debate and congressional passage of each. Ross Perot once said that he gave out money at EDS like he’d give out water in the desert.
If the SEC suspension of mark to market accounting rules caused the markets to surge up and it stays up, Obambi and his democRATS are in a heap of trouble.
“I hate to be the bearer of bad news (I oppose a bailout, too), the main reason for the market’s rebound today is the renewed hope in the markets that some bailout will pass in the near future, as evidenced by bailout futures trading over 80.”
Why then did the market start dropping long before the bill was defeated, when everyone was assured it was going to pass?
You are doing amazing work here.
Bailout futures are trading at more than 80.
You are correct, sadly.
Gee, what an opportunity to make a wad of money - scare people into giving up their investments for 30% less by not passing the much anticipated “bailout”, and the grabbing the upswing by then passing it a few days later. Holy cow! Money from nothing!
Ironically, I was born just a few miles from where Mencken lived.
Don’t be so sure. The way to make lots of money is to swing the market up and down, and know when the swings are about to happen. If you and your cohorts are in control of the rope, you have the power to make a vast fortune in short order. I’m sure our congressmen are “discussing the historic opportunity.”
It dropped a bit in the morning on news the vote would be closer than previously expected. Then it stayed basically flat until the roll-call vote started. During the vote it started going down, around 1:40-1:45 when it looked likely to fail.
From Yahoo Finance (looking at the S&P500):
9:30: opened at 1209 (down from 1225 close the previous day).
10:00: drops to 1779.
Roughly flat from 10-1:20. Still at 1669 at 1:20.
Bailout rollcall vote starts around 1:20 (source: Michelle Malkin's live blog). While the role-call is going, market starts to go down as the nays start stacking up. By 1:45, according to MM, it looks pretty likely it's going to fail. By 1:50, it's official.
Not coincidentally, by 1:45 market drops to 1146, and keeps going down.
http://michellemalkin.com/2008/09/29/kill-the-bailout-the-house-floor-debate-is-on/
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