Market Rebounds to Pre-Bailout Vote Levels
Just a quick note to remind everyone the market dropped over 330 points yesterday prior to the bailout vote. The 485 point gain posted today puts the market at pre-bailout vote levels. No one said this wouldn’t be painful, but government interference will only make things worse.
Our President, both presidential nominees, Congressional liberals, Secretary Paulson, Chairman Bernanke and the talking heads on TV are just fear mongers who are trying to protect their own investments. This is a power grab by the executive branch, plain and simple. Why else would Secretary Paulson threaten Congress with economic disaster if they did not pass the bill by Monday, not allowing any time for meetings with outside economists, and would not agree to a compromise unless virtually all of the discretionary power is held by the Secretary of the Treasury (part of the executive branch).
Well, here we are on Tuesday and the market is rebounding.
The credit will be there. The money business is like the drug business. Every time you get rid of one ‘dealer’ there’s instantly another one to take their place. If you are willing to pay interest, someone will be willing to loan you money. Think about it, even people with a negligent credit history can get a loan if they are willing to pay high enough interest. By the way, Duke Energy drew $1 billion in credit today.
It’s common knowledge that in management, a decision made out of fear is almost always a bad decision. Why are our leaders trying to scare us into agreeing to this decision?