A Few Clouds ~
River stage: 17.2 ft. Steady
Wednesday, Sep. 2, 2015
My market analysisPosted Tuesday, August 9, 2011, at 9:43 PM
Monday was among the 10 worst days for the Dow Jones Industrials in the wake of Standard and Poor's downgrade of America's credit rating.
Tuesday was one of its 10 best on news that the Fed will leave interest rates low for two more years.
Tuesday's market comeback didn't do much to ease the anxiety Americans are feeling. While the immediate debt crisis is over, our country still has long-term debt problems. The balance just keeps growing on our national credit card.
I remember my dad telling me stories about "Civil Defense Drills" he took part in during elementary school fearful that communist countries could use nuclear weapons against the U.S.
In contrast, today, communist China practically owns us. China owns more U.S. Treasury bonds than anyone else.
We might not practice running into bomb shelters anymore, but fear still grips many--Fear of losing their job, losing their home, not being able to pay their utility bills.
S&P's reduction of the country's credit rating from AAA to AA+, is no doubt a reflection of our dysfunctional politicians, regardless of party affiliation, who seem more concerned with pointing fingers than proposing real solutions.
Tuesday's rebound shows that Wall Street was comforted by what the Federal Reserve Bank had to say. But I'm not sure the American people are.
By promising to keep interest rates near zero, the Fed must be banking on already slow economic growth slowing even further.
Our chief copy editor Spencer Cramer pointed out to me a few weeks ago, when I referred to "the recent recession" in a sentence, that our last recession in 2008 technically ended in 2009.
For many, it sure doesn't feel like it, especially the 9.1 percent of Americans who were unemployed last month.
But it's not all bad news.
If you have money to invest, consider the entire stock market as currently having a bargain basement sale. It's like after-Christmas clearance!
Another bright spot, oil prices are still well below the $100 a barrel they were fetching earlier this year. Oil's dropped 14 percent in the past month, at about $80 a barrel today. Enjoy the savings at the pump while you can!
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Melissa Miller is business editor at The Southeast Missourian. A graduate of the University of Missouri Journalism School, she's worked as a reporter, photographer, editor and as the executive director of two not-for-profit organizations. After living in Michigan and then Indiana, she moved back to her hometown of Jackson, Mo. In addition to writing daily stories for The Southeast Missourian, Melissa coordinates editorial content each month for Business Today. Business Today is a monthly publication for southeast Missouri's business community. Monthly themes include health care, agriculture, women in business, technology and more. Business Today is direct mailed to business owner and managers throughout southeast Missouri and southern Illinois. Follow her updates on local business developments at www.twitter.com/semissourianbiz or on Facebook at www.facebook.com/MelissaMillerSoutheastMissourian