Posted on 10/09/2008 12:59:03 PM PDT by Red Badger
The Dow Jones industrials fell under 9,000 this afternoon for the first time since the summer of 2003 as investor confidence that markets would stabilize appeared to collapse. At 3:40 p.m. ET, the blue chips were down 641 points, or 6.9%, to 8,617. The Standard & Poor's 500 Index was off 74 points, or 7.5% to 911. The Nasdaq Composite Index was down 94 points, or 5.4%, to 1,646. The S&P fell under a closely monitored support level of 960. A support level is important because it is supposed to trigger new buying. At those levels, the crash of 2008 has left the Dow 39% below its record close of 14,164.53 and the S&P 500 down 41% from its record close of 1,565.15. Ironically, both records were set exactly one year ago today.
(Excerpt) Read more at articles.moneycentral.msn.com ...
FLASHBACK (2006)—President Bush called last week’s midterm election results “a thumpin’” as the Democrats took control of both the House and the Senate. Since then, Republicans and Democrats have been promising to work in a “bipartisan way for all Americans.” But what does it mean ...
It could also be the markets puking at the thought that that guy Hussein is leading in some battleground states.
“This is so frustrating. Not that the market is down. But nobody seems to get that there are only two ways out of a recession: 1) inflation; 2) business tax relieve.”
I agree. But, I fear that cutting taxes won’t fix the short term problem of a financial collapse. It may be too late. I pray not!
Conserve the ammo...you may need it. My company stock was at $20.20 on Friday. It closed at $17.89 today. Getting close to erasing all the gains since the IPO.
By the end of this year? We'll be lucky if it's 10K by the end of next year.
They didnt fight this hard and Bush took credit in state of the union speeches for minority home ownership.
It is.
Thanks for the bailout petition link, pissant. I signed it and added comments.
“In the last year the market has fallen 30+%”
After all the “bubbles” of the last ten years or so (real estate, dot-com, etc.), could the market be returning downward to a “true measure” of its actual value, vis-a-vis all the “pumping up” of the last decade?
A house that [before the bubble burst] was selling for a price of 750,000 - yet is no different from one that sells for 200,000 in an area of slow or no growth - is not _worth_ its “market value”. That price was the result of the pressures of low interest, easy credit, subprime [no-background-check] loan agreements, and such. All these combined to puff up the “value” to an imaginary number that was not sustainable over the long term. The _real_ intrinsic value of the house (viewed in terms of the wood/foundation/fixtures that comprise its existence as “a house”) was always closer to the 200,000 value of the same house in some other non-inflated location.
Could the “stock markets” have become inflated the same way? In that the selling prices of the shares (and the perceived value of such shares) had little or no bearing on the _actual_ value of the shares, and of the corporations that they represented?
Perhaps it’s less of a “crash” that we’re seeing, than it is a “return to the baseline” of true values....
The invisible hand at work in a way that no one could foresee?
- John
Me.
We will still be in the depression or in a civil war then. (Probably both)
BLOAT
Thanks. Pass it around.
Best post of the thread, and of all the rest of the threads about this cr*p.
Thanks....I’ll have to come up with something.
I wouldn't count on it. Remember the Politicians are still HELPING us. I haven't seen them do one correct thing yet. Government interference is the problem.... I would agree with you if Free Market principals were allowed to work, but the people in power are doing everything they can to prevent this.
Nice summary, Raster.
According to the article, we're 39% off the all-time high of the DOW.
Yep. Although Bush lost all claims to the title “fiscal conservative” long ago.
Some comment was made about eliminating the ability to contribute the 401k as an income deferral from your gross income. The RATS insist the "government needs the money". That will shutdown 401k driven investment in stocks and bonds in a big hurry. The 401k was the driving force behind the rise of the stock market. I really didn't expect the big dive to happen before the boomer generation started the big, mandatory draw down. There might not be much there by the time that happens.
How do we do that? On April 15th simply do not file an income tax return and do not send them any more of OUR money.
DEMAND that OUR money is not spent on THEIR projects and bailouts!!
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