Ten Reasons To Panic About The Market

from 24/7WallStreet:



Ten Reasons To Panic About The Market
Posted: August 5, 2011 at 6:39 am


The sell-off, which has driven most stock markets around the world down by 10% in the last week, is likely to get worse. It is a sign that many believe a new recession has begun. This trouble can be coupled with a credit disaster in Europe and deficit trouble, which did not end with new budget plans set by Washington, in America.

Panic has set in as the markets have sold off. There are reasons that the panic may get worse:

1. Markets collapsed as the last recession reached a bottom. The DJIA, which traded at 14,000 in 2007 dropped below 7,000 in the spring of 2009. If the recent past is any indication, equities have much further to fall.

2. Corporate profits are likely to disintegrate. Cost cuts are near their limits. These cuts have helped company earnings recover over the last two years. The leveraged corporations have to keep margins if sales continue to drop.

3. Unemployment is still much too high to help consumer spending. U.S. joblessness is still well over 9%. Over 14 million people are out of work, and about 6 million of those have not found jobs in over half a year. ..........(more)

The complete piece is at: http://247wallst.com/2011/08/05/ten-reasons-to-panic-about-the-market/#ixzz1UAFtqU5E

There will still be plenty of gambling.

Were taxes raised?

Jobs programs by the government?

How was the economy stimulated?

October 14, 2008
Bulls, Bears, Donkeys and Elephants

By TOMMY McCALL
Since 1929, Republicans and Democrats have each controlled the presidency for nearly 40 years. So which party has been better for American pocketbooks and capitalism as a whole? Well, here’s an experiment: imagine that during these years you had to invest exclusively under either Democratic or Republican administrations. How would you have fared?




As of Friday, a $10,000 investment in the S.& P. stock market index* would have grown to $11,733 if invested under Republican presidents only, although that would be $51,211 if we exclude Herbert Hoover’s presidency during the Great Depression. Invested under Democratic presidents only, $10,000 would have grown to $300,671 at a compound rate of 8.9 percent over nearly 40 years.

http://www.nytimes.com/interactive/2008/10/14/opinion/20081014_OPCHART.html

because his policies were not working.

this is something the conservatives don't like to mention...

"OK, I've weighed my various options and I do believe that I should now commence to panic, it having been well-demonstrated."

The headline shows a complete misunderstanding of, remarkably, BOTH reason AND panic.

:rofl: