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Stocks fall as investors ponder Obama presidency
AP ^ | 11/5/08 | Sara Lepro

Posted on 11/05/2008 10:46:47 AM PST by truthandlife

A case of post-election nerves sent stocks lower Wednesday as investors began questioning what impact a Barack Obama presidency will have on business and the overall economy. The Dow Jones industrials fell more than 300 points and the major indexes all fell more than 3 percent.

Stocks fell initially as investors cashed in gains after a six-day run that lifted the Standard & Poor's 500 index more than 18 percent. The selling picked up momentum as the market began to ponder what an Obama administration might do.

"A lot of the policy going forward is going to have an effect on the various sectors of the market," said Joe Keetle, senior wealth manager for Dawson Wealth Management.

Obama's victory means that industries such as oil and gas producers, utilities and pharmaceuticals may face greater regulation and even taxes, while labor unions and automakers are expected to benefit.

In addition, banks, insurance companies, hedge funds and the rest of the financial sector will almost certainly face attempts at a regulatory overhaul by the Democratic Congress next year.

(Excerpt) Read more at biz.yahoo.com ...


TOPICS: Business/Economy; Front Page News
KEYWORDS: barackhooverobama; bho2008; obama; socialism; stocks
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To: nmh

I will do my part.


61 posted on 11/05/2008 11:28:15 AM PST by carmody
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To: 3catsanadog

“Obama’s victory means that industries such as oil and gas producers, utilities and pharmaceuticals may face greater regulation and even taxes, while labor unions and automakers are expected to benefit.”

I am moving all my funds into Fanta Grape Soda and Funyon stocks...Oh yea, manufacturers of menthol cigarettes.


62 posted on 11/05/2008 11:28:26 AM PST by Holicheese (Get up Tom Brady, get up! PLEASE!!)
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To: 3catsanadog; Snappy1MarineMom
Good questions, but I'm afraid I don't have any answers.

When you have an administration that is going to "fundamentally change" our system, you can not know what to expect.

Will my Roth IRA still build value tax-free? Doubt it.

Will my IRA contributions still be tax-free? Probably not.

Will life insurance proceeds remain tax-free? Don't count on it.

In fact, I would bet there will be discussions about "nationalizing" the life insurance companies (you talk about a HUGE chunk of money) and rolling those assets into Social Security. That way we don't have to rely on those "greedy insurance companies".

"Fundamental" comes from the same root word as "foundation". When you change things in a fundamental way, you change the foundations on which societies are built.

Welcome to the New World.

63 posted on 11/05/2008 11:34:35 AM PST by TexasNative2000 (November 1, 2008: Texas Tech 39 - Texas 33)
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To: ExTexasRedhead

I expected a downturn in the stock market today and I was right. Conversely, yesterday’s rally was probably based on false hope of a McCain victory, yet the MSM reported the rally as based on an end to the uncertainty surrounding the election. But what else would you expect from the MSM? They’ll never admit to the obvious truth when it isn’t PC.


64 posted on 11/05/2008 11:57:40 AM PST by justiceseeker93
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To: Aquinasfan
That statement is partially accurate, but the two groups mentioned as "expected to benefit" are mutually exclusive -- labor unions and automakers.

Automakers are going to benefit tremendously because one of the first initiatives of the Obama administration is going to be a massive overhaul of Medicare that will effectively allow old U.S. manufacturing giants like General Motors to dump their retirees off their insurance rolls and into some kind of sub-standard government-run medical insurance plan.

And lest anyone feel a need to criticize the Democrats for this, I'll point out that this was going to happen even if McCain had won. In fact, this was precisely why the Bush administration was so hell-bent on implementing that Medicare prescription drug plan in the first place.

The unions will continue to suffer because the U.S. government will implement things by law that unions used to negotiate on behalf of their members. So union membership will continue to become increasingly pointless over time.

65 posted on 11/05/2008 12:01:41 PM PST by Alberta's Child (I'm out on the outskirts of nowhere . . . with ghosts on my trail, chasing me there.)
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To: truthandlife

We moved our assets this morning.


66 posted on 11/05/2008 12:06:52 PM PST by ladyvet (WOLVERINES!!!!!)
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To: TexasNative2000

Lord what have we wrought? My country is gone.
Thank you for your help.


67 posted on 11/05/2008 12:08:17 PM PST by Snappy1MarineMom (Don't Blame me I voted for Keys)
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To: Holicheese
Oh yea, manufacturers of menthol cigarettes.

Hey, I worked at a WaWa store in the City of Brotherly Love for a short time: Newports are the smoke of choice.

68 posted on 11/05/2008 12:14:46 PM PST by happygrl (Atlas Shrugged: post election tagline)
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To: Abby4116
So unlike the day after Ronald Reagan was elected in 1980. Virtually every stock was up by noon!

I remember it well, and how the media tried hard to downplay it. It was a great feeling. I hope to experience it again.

69 posted on 11/05/2008 12:14:47 PM PST by Aquinasfan (When you find "Sola Scriptura" in the Bible, let me know)
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To: Holicheese
I asked her how her job and her rent would be effected when Obama raised taxes on all those nasty rich people like her boss and her landlord. She was confused.

Let me guess, public school and/or college grad?

70 posted on 11/05/2008 12:16:33 PM PST by Aquinasfan (When you find "Sola Scriptura" in the Bible, let me know)
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To: happygrl
Hey, I worked at a WaWa store in the City of Brotherly Love for a short time: Newports are the smoke of choice.

Let me guess, were these all young, gorgeous, volleyball-playing, twenty-somethings, with nice white teeth?

71 posted on 11/05/2008 12:22:40 PM PST by Aquinasfan (When you find "Sola Scriptura" in the Bible, let me know)
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To: Aquinasfan
Young? Started out that way, but...

Gorgeous ?Yeah, in a kind of "Thunderbird" sort of way...

Volleyball-playing ? nah, hoops...

Twentysomethings ? Yeah, that would have been their chronological age

Nice White Teeth ? Not with Newports....

72 posted on 11/05/2008 12:32:47 PM PST by happygrl (karma's going to be a B**** 0bama)
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To: TexasRepublic

I for one would love to see the “COAL” states get their due comeuppance for their STUPIDITY. I hope Obama follows through on his promise to bankrupt them. I will just run my generator on moonshine if i can’t afford electricty anymore.


73 posted on 11/05/2008 12:43:26 PM PST by FLDemocracker
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To: happygrl

Which Wawa did you work at? My now wife lived in Center City right off the Penn Campus in a rough neighborhood. I went to many a Wawa. Great sandwiches and plenty of Funyuns!


74 posted on 11/05/2008 12:46:04 PM PST by Holicheese (Get up Tom Brady, get up! PLEASE!!)
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To: Holicheese

What are the odds the MSM reports on the DJIA 450 point hit in connection with the election results?


75 posted on 11/05/2008 12:58:58 PM PST by cartervt2k
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To: Abby4116
You're correct...and they stayed up.

The "NO" (nameless one) has brought us a Dow Jones close of -489.75.

Whaddabounce!

76 posted on 11/05/2008 1:05:15 PM PST by Logic n' Reason ("Never allow someone to be your priority while allowing yourself to be their option.")
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To: truthandlife
So, the brainy college plus educated voters are just now pondering “what an Obama administration might do”?

How comforting is that!

77 posted on 11/05/2008 1:05:56 PM PST by Chgogal (Voting "Present" 130 times might be a sign of a smart politician. It is not a sign of a good leader.)
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To: Aquinasfan

I thought that was funny too. What’s left of the auto industry will be destroyed by these people.


78 posted on 11/05/2008 1:15:09 PM PST by headstamp 2 (Been here before)
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To: Raster Man

Hitlery will be a Judge and may God help us!


79 posted on 11/05/2008 1:19:05 PM PST by tcat
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To: LizardQueen
I hope the Dow is at 2000 in the middle of Comrade Ubanga’s term.

I am hoping it makes it till at least spring. I actually expect it to hit 2-3k by march. But that is no where near as bad as Obamas tax plan. No, he will not raise taxes, he will, like all good little dictators, print money. We will be paying a days wages for a loaf of bread, but he will not have raised taxes one bit.

Rev 6:5 When He broke the third seal, I heard the third living creature saying, "Come." I looked, and behold, a black horse; and he who sat on it had a pair of scales in his hand.

Rev 6:6 And I heard {something} like a voice in the center of the four living creatures saying, "A quart of wheat for a denarius, and three quarts of barley for a denarius; and do not damage the oil and the wine."

80 posted on 11/05/2008 1:21:45 PM PST by American in Israel (A wise man's heart directs him to the right, but the foolish mans heart directs him toward the left.)
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