Markets Continue Freefall

[rareboy]

So by 3pm today, the markets are back to September 2010 levels, having lost 16% over the last 11 sessions.

I guess that despite Obama's pleas and Geitner's whining, the investors no longer feel confident in brand America right now.

Compared to the hundreds of billions of dollars being lost at the moment, a tax increase must be starting look like it would have been preferable.

So welcome to the Crash of 2011, brought to us by Politics As Usual.

 

[palemale]

but good news, ya'll, America is "still a AAA country."

http://www.youtube.com/watch?v=wOIHNyn9HOk&

it kinda smacked me of a "the fundamentals of our economy are still strong" moment.

Except that investors who are fleeing the stock market are purchasing, you guessed it, U.S. Treasury Bonds.

Investors continued to pile into the Treasury market despite a downgrade to the U.S. government's credit rating, and the huge safe-haven buying sent benchmark yields to their lowest level since January 2009.

http://online.wsj.com/article/SB100...95930871375572.html?mod=WSJ_hp_LEFTTopStories

 

[bike10]

The Tea Party and Koch boys must be happy.

 

[laikaNYC]

The markets may have fallen into the toilet, but gold is at a record $1,718 per oz.

Gold price tops $1,700 as investors seek refuge

 

[Tengilethos]

Bad Avatar!

Oh and Gold is still not on it's record high if you account for inflation, that would be somewhere around 2000 Dollar I believe.

 

[MoltenRock III]

The markets may have fallen into the toilet, but gold is at a record $1,718 per oz.

Gold price tops $1,700 as investors seek refuge

BostonPirate did say last week he was going to recommend buying gold to his clients. Either he has a lot of clients, or he was right on the money with his advice.

 

[Jack Springer]

Obama's points in his speech.

Stay the course.

Markets go up, markets go down.

Blame someone else.

I take no blame, my administration takes no blame.

Blame the tea party.

Blame Bush.

Raise taxes.

 

[maxpowr9]

BostonPirate did say last week he was going to recommend buying gold to his clients. Either he has a lot of clients, or he was right on the money with his advice.

I actually bought some back in '08 when it was around $900/oz when a few other of my friends did for kicks. Personally, I never really understood the purpose of coveting a shiny object such as gold, but if people think it has intrinsic value, w/e.

I have no interest in Obama and his political posturing over the downgrade. It just reinforces the point that S&P made. Yeah self-fulfilling prophecies!

The only LOLz I got out of today was Buffet damning S&P over their downgrade because he is a majority shareholder in Moody's (and a supporter of Obama).

 

[chance1]

So by 3pm today, the markets are back to September 2010 levels, having lost 16% over the last 11 sessions.

I guess that despite Obama's pleas and Geitner's whining, the investors no longer feel confident in brand America right now.

Compared to the hundreds of billions of dollars being lost at the moment, a tax increase must be starting look like it would have been preferable.

So welcome to the Crash of 2011, brought to us by Politics As Usual.

Even a blind squirrel

Bravo

 

[JayQueer]

This is all because of Obama.

I'm so disappointed in Obama........I believe he is the worst president in modern history (perhaps even worse than Carter).

 

[rareboy]

I think it is crystal clear from the wealth of posts by Jqueer here that there he apparently lacks the capacity for independent thought or action.

The crash of the markets is equally shared by the T-baggers, the Republican opportunists and the compromise at any cost White House.

I think that the Jqueer avatar makes another tactical error by even daring to compare Obama with Carter. How could a 25 year old even begin to make the comparison?

 

[MoltenRock III]

I actually bought some back in '08 when it was around $900/oz when a few other of my friends did for kicks. Personally, I never really understood the purpose of coveting a shiny object such as gold, but if people think it has intrinsic value, w/e.

I have no interest in Obama and his political posturing over the downgrade. It just reinforces the point that S&P made. Yeah self-fulfilling prophecies!

The only LOLz I got out of today was Buffet damning S&P over their downgrade because he is a majority shareholder in Moody's (and a supporter of Obama).

I got two LOLzd. One, S&P making a $2 trillion mistake by overstating the debt and when called on it they said, um... Doesn't matter, don't care. Secondly, with that attitude no wonder they kept Lehman and all the worthless mortgage credit default swaps rated as AAA, right until the end.

More disturbing however, is that S&P gave Obama running room by implicitly stating the downgrade was the fault of Tea Partiers. Instead of Obama & Co using that as a Louisville Slugger to explain to the American people the issue, he attacked the messenger (S&P) thereby wasting a gift presented on a silver platter. *shakes head in disbelief*

 

[chrisrobin]

This is all because of Obama.

I'm so disappointed in Obama........I believe he is the worst president in modern history (perhaps even worse than Carter).

BUMPER STICKER ALERT!
​

 

[KrisHawkXXX]

we should just increase taxes on the richest of the rich by at least 15-20%.

 

[JayHawk]

Wow serious ideas... Jay Q focus. Neato.


S& P said:

The primary focus remained on the current level of debt, the trajectory of debt as a share of the economy and the lack of apparent willingness of elected officials as a group to deal with the U.S. medium term fiscal outlook,"

Which of course is hardly blaming the Tea party. It was taking neither route. They did not raise taxes and curtail spending NOR did they cut to the bone and demand balance. They waffled. The markets have been saying for a while publicly that indecision is what is strangling them. The S&P confirmed that concept. The fact that the American congress failed to take action in either direction decisively is what killed the rating not the party or the direction. The lack of direction.

The press conference was again quite self fulfilling for the S&P's conclusion. Obama DID try to blame the tea party using the S&P downgrade. Every single solitary Democratic spokesperson of whatever stature had the same message this weekend.. Bar None. It is quite evident it did not work so Obama figured he could waffle some more.

 

[chrisrobin]

we should just increase taxes on the richest of the rich by at least 15-20%.

Returning tax codes to pre-Reagan policy appeals to me!

 

[chrisrobin]

But...but...but...Daddy SAID!

And then he hit me.

Sounds a little kinky to me. Who is this Daddy, of whom you speak?

 

[MoltenRock III]

Which of course is hardly blaming the Tea party.

The political brinksmanship of recent months highlights what we see as America’s governance and policymaking becoming less stable, less effective, and less predictable than what we previously believed. The statutory debt ceiling and the threat of default have become political bargaining chips in the debate over fiscal policy … This weakens the government’s ability to manage public finances …

America’s ability to pay is neither here nor there: the problem is its willingness to pay. And there’s a serious constituency of powerful people in Congress who are perfectly willing and even eager to drive the US into default. The Tea Party is fully cognizant that it has been given a bazooka, and it’s just itching to pull the trigger. There’s no good reason to believe that won’t happen at some point.

S&P Report On America's Downgrade

 

[LikesDudes2]

Gas futures are down to $2.60/gallon for Sept delivery.

 

[cynicus]

Read the op ed piece by Drew Westen in the Sunday NY Times. Here is the last paragraph of his piece:
"But the arc of history does not bend toward justice through capitulation cast as compromise. It does not bend when 400 people control more of the wealth than 150 million of their fellow Americans. It does not bend when the average middle-class family has seen its income stagnate over the last 30 years while the richest 1 percent has seen its income rise astronomically. It does not bend when we cut the fixed incomes of our parents and grandparents so hedge fund managers can keep their 15 percent tax rates. It does not bend when only one side in negotiations between workers and their bosses is allowed representation. And it does not bend when, as political scientists have shown, it is not public opinion but the opinions of the wealthy that predict the votes of the Senate. The arc of history can bend only so far before it breaks."
The allusion is to MLK. I wonder what happens in this country when the arc finally breaks. Take a look at England right now and what a populace can do when they are completely fed up with such wide class distinctions.

And JayQueer--do some more reading. You do not have a clue, do you? If there were a picture of a "troll" in the dictionary, it would be you.