The Wall Street Journal records: "U.S. stocks have lost $7.5 trillion in market value since indexes hit a record on Oct. 9, 2007, one year ago. That exceeds the gross domestic products of China and Japan, and is in the same ballpark as the U.S. national debt."The WSJ goes on to note that "... these figures are based on the DJ Wiltshire 5000 Index, which includes almost every U.S.-based company. The index's market value has fallen 39 percent, or $7.5 trillion, from its $19.2 trillion Oct. 9, 2007 record."
Coordinated interest-rate cuts around the world failed to reassure investors that the global financial crisis would end soon.
Stocks fell for the sixth consecutive day after a whipsaw session. The Dow Jones Industrial Average finished down 189.01 points, or 2.0%, at 9258.10, its lowest close in more than five years. The blue-chip average moved higher in the morning, was down more than 250 points at its intraday low in the afternoon, and rose again before losing ground at the end of the day.
The Dow is now 35% below its record finish a year ago, on Oct. 9, 2007. It has fallen 15% over the past six trading days.
The inability to rebound after rate cuts by Federal Reserve, the European Central Bank, the Bank of England, the Bank of Canada and other central banks was taken as a sign that it will be hard for stocks to recover from their declines of the past year.
Wall Street Journal | Yes, Dow's Record Was Year Ago Today
Given today's new 'early low' of 9,045.76 and despite a volatile stability returning to the markets (sort of like Putin's head rearing over Alaska), I assume the chap who prompted my post of two days ago is toasting this particular anniversary with Kool-aid supplied by FEMA.
Holy crap! At 8,579.19 and 7.33 percent down at the close, it's turned to Chinese milk ... That's more than five years of funny money wiped out.
Following yesterday's 508 point bloodbath, President George Bush tried to calm jittery investors about the turmoil in the markets. He said, "I know that the days are dim right now for a lot of folks. But I firmly believe tomorrow is going to be brighter."
Mike Whitney | "To the Bunkers!"
Note: "Tomorrow" was today — and a 675-point cliff face awaited. Tomorrow (Friday) we face the prospect of yet another load of Bush's bullshit. Let's hope his people read the morning papers.
The consequences of Lehman’s fall were apparent within days, yet key policy players have largely wasted the past four weeks. Now they’ve reached a moment of truth: They’d better do something soon — in fact, they’d better announce a coordinated rescue plan this weekend — or the world economy may well experience its worst slump since the Great Depression.
Paul Krugman | Moment of Truth
Background: the First Brigade of the Third Infantry Division, three to four thousand soldiers, has been deployed in the United States as of October 1. Their stated mission is the form of crowd control they practiced in Iraq, subduing "unruly individuals," and the management of a national emergency.
Naomi Wolf | Thousands of Troops Are Deployed on U.S. Streets Ready to Carry Out "Crowd Control"
One has to ask the question. Having done all the spadework, is George W. Bush making provision for or planning martial law?
