Obama Bear Market

Not sure which forum to put this in -

Obama Bear Market

March 6 (Bloomberg) -- President Barack Obama now has the distinction of presiding over his own bear market.

The Dow Jones Industrial Average has fallen 20 percent since Inauguration Day, the fastest drop under a newly elected president in at least 90 years, according to data compiled by Bloomberg. The gauge has lost 53 percent from its October 2007 record of 14,164.53, slipping 4.1 percent to 6,594.44 yesterday.

More than $1.6 trillion has been erased from U.S. equities since Jan. 20 as mounting bank losses and rising unemployment convinced investors the recession is getting worse. The president is in danger of breaking a pattern in which the Dow rallied 9.8 percent on average in the 12 months after a Democrat captured the White House, according to data compiled by Bloomberg.

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The Dow Jones Industrial Average has fallen faster under President Obama than under any new president in at least 90 years, according to a review conducted by Bloomberg.

Bloomberg reports that since Inauguration Day, the Dow has fallen 20 percent, leading at least one investor to dub this the "Obama bear market." The Dow has also dropped 31 percent since Election Day.

Despite a string of government bailout offers and Obama's advice earlier this week that Americans should be buying stock while shares are low, the Dow has continued to freefall.

I'm sure the DOW will fall more today after getting the jobless rating news. So much for the supposed 'confidence' that all that pork and spending was supposed to bring.

Obama walked into a difficult situation. But he and Pelosi are making it worse and there is no end in sight to their spending. Just 6 weeks in office - just 3 1/2 months since elected - and all this damage has been done.

Side note - The FDIC said yesterday that it expects to be broke by the end of the year. I'm sure Wall Street enjoyed hearing that as well ...

Story Here

Obama Policies Feed Market Panic - title of the article

Since Barack Obama was sworn in as president on Jan. 20, stocks have tumbled to record lows — with investors losing an estimated $2.5 trillion in market value. ....

Obama has moved aggressively on economic and fiscal policies. But investors — if the market is any indication — are giving his initiatives a chilly response. ....

On Feb. 17, Obama signed a stimulus bill worth $787 billion — the largest spending bill in history. But the Congressional Budget Office indicates only 20 percent of the funds will be spent this year, and the nonpartisan group suggests that the package could do more economic harm than good.

There's still no plan to deal with the horrific problems with the toxic derivatives that appears to be massive. I've seen headlines that say the government refuses still to release any details on who exactly got the TARP 1 money but it appears to have not gone to fixing the actual problem. Plus Obama has declared war on business from every angle: higher taxes on any individual who makes more than 125,000 and more capital gains taxes, the cap and trade energy fees will raise costs of everything. There is nothing to be gained by investing because any profit will be taxed away. There's also this spending machine headed by Reid and Pelosi that at the very least puts us into debt we cannot possibly pay off and at worst very soon into hyperinflation so money will be worthless anyway. It's almost a surprise the market hasn't dropped faster. How can anybody do business in such a climate? It seems that everybody must be trying to come up with a plan to somehow survive but lie low for a few years in hopes that business will be welcome in US again.

Does Obama really not understand how devastating his policies are? I understand that he has another agenda, that business is something he tolerate because he must, but has he really envisioned what this country will be like when everybody cuts back to a bare minimum or closes their doors? He's supposed to be so smart. What is he thinking?

Who said Obama was smart?

Because he went to flashy schools and has flashy friends he is smart? I personally think the guy is either naive, stupid, malevolent, or all of the above.

He became President based on the sole qualification being that he was running for President. He has written two auto-biographies but accomplished nothing. He sounds like something out of a bad joke about politics.

reply to post by ragman


I have a lot of liberal friends are all during the campaign they kept going on about how smart he is, how nice it would be to have an intelligent, articulate president instead of a dummy like bush. I would try to ask for specifics to no avail. People who are themselves intelligent and well-educated are apt to believe others who had the same education are also intelligent. I have noticed that these folks are very very quiet now. They haven't turned on him, and if asked they "believe in" his stimulus bill, the "believe" everything he says, but they're quiet.

It would be nice to see results instead of having to "believe".

BTW, I agree with all you say about him.

March 6 (Bloomberg) -- President Barack Obama now has the distinction of presiding over his own bear market.
That president Bush created.

The markets didn't took Obama's presidency as a good sign, because they knew that obama will target wall street.

Now we know so far that the markets are not Obama's friend, his proposed taxes will affect a large portion of people in Wall street.

Is this a good idea? well this nation is facing a big economic crisis so taxes at this time are not a good idea when they will be targeting the people that are hurting the most, business owners, entrepreneurs and professionals with combine incomes.

reply to post by marg6043


It is't just business people who are hurt by Walll Street's decline. Many other people have pensions that are invested in the stock market. In Oregon our public employees have an excellent retirement program that guarantees them an excellent retirement income but that pension is invested in the market. So far the people of Oregon has had to eat the difference by paying the dfference from the general fund. They did make some changes in the program because the situation was about the bankrupt the state but there are still a great many people receiving pensions under the old rules. I have no idea how the the huge drop will affect those retirees or if the people of oregon will continue to pick up the difference. it will have dire consequences if so. this market crash is hurting main street right along with wall street.

Yes you are right it is, and lets not forget the baby boomers also.

The small business owners will be affecting more than their own pockets as they are the most employers in the US.

Obama taxes to family incomes of over 250,000 will put a stress on this business owners and their employees, perhaps bancrupting many of them.

What a cowardly low blow.


You fail to mention anywhere that this crisis started long before Obama became president. If everyone is so unhappy with what he is doing, why dont you recomeend something else?
Instead of plainly bashing what he's doing so you can jump on the anti-obama bandwagon

Secondly,

This is a crisis that hasnt been seen SINCE the great depression,

So I really think the fact that being this is an unusual non-upspike experienced is a null and void comment.

Obama bear market , haha, this is 1 of the silliest threads,


Think about it , the stock market is more than 2 months old

reply to post by Agit8dChop


Yes you are right, but when analyzing the way Obama is approaching the economic crisis and look at the hopes and ideas he came with and the way that big interest and congress has gone around twisting them, you most understand that the approach will indeed harm the economy more that it will help it.

The team of people that Obama has chosen for his cabinet and the several groups that will be taking the task to work with the economic stimulus are nothing more than the same fat rats that during Clinton they help push the policies and bad deals that has help get our economy where is today.

Obama dreams, hopes and ideas has been turn into the biggest most irresponsible spending bill that this nation has ever seen.

Then his taxes at a time in which this nation is facing the worst economic crisis ever known are misguided and targeting the wrong people in our nation.

Marg, always a pleasure my dear!

Very true, the cronies Obama has chosen are pretty dirty themselves,

But, There's only 1 true solution to this issue, and thats to handcuff all the bankers and their corporate cronies.

No one, no one will ever do this, because effectivley they are the government.

I just think people need to wake up a bit and stop blaming Obama for something that started long before he even declared his intentions to RUN For president.

reply to post by Agit8dChop


On that I agree, I truly believe that he had the right ideas to help the nation and that he truly wants to work for the people.

but I also believe that he is becoming to the realization that in Washington he is not the one calling the shots.

The only reason Bush was so successful in Washington and go away with all the dirt he did was because he was doing what the big interest want him to do.

Obama is struggling right now with that same big interest and he is getting worn out.

It will be to the point that eventually he will give up and will do what others before him did.