Monday Open Thread: Market/Economy Editionby Brad Warbiany
Well, for those of you who follow the financial world, the market was all over the place last week. We saw the fed come in and try to inject $7B in liquidity, only to see the Dow drop 2% afterwards. We then saw a rate cut and a rally to close the week. Today has already been a rollercoaster. And everyone thinks that rate cut will be the saving grace and we’re clear sailing from here. I saw some pundits on the idiot box talking about how suddenly the financial stocks were “cheap”, and even heard someone say the Dow would be back to 14,000 within “weeks”. And all of them were laughing off the guy who said we have a lot farther to go before we hit bottom.
So what’s your prognosis? Both from a market standpoint and a general economy standpoint. Everyone knows I’m bearish over the next 5-10 years, but I’m an engineer, not a finance whiz, so I’d love to hear everyone else’s take.
And as an added question, what do you see our next President doing if the economy falters? You’re free to predict your own next President for that one.