The Dow is up today

[BTW]

So how does this 5% increase in the Dow figure into the end of the world and soup lines?
My fellow Americans, we have got to stop listening to stupid people.

[MORAY37]

So how does this 5% increase in the Dow figure into the end of the world and soup lines?
My fellow Americans, we have got to stop listening to stupid people.

The Dow was never the problem.  It is just one of the thermometers taking the patient's temperature.  The freezing up of the credit system is the problem...and it froze up even more since yesterday. (The standard lending rate, by which banks lend each other, almost doubled yesterday... and went up even more today)

You show a gross and average american misunderstanding of the problem.  The Stock Markets will respond however they will....all of their eggs aren't involved in the problem (the financial sector, lending and credit).  The stock markets are also reacting today to the call that "there WILL be a rescue" in the very near future. 

If there isn't a rescue deal, you will have a better understanding of the issue, when your credit cards and payroll don't go through. 

[DrDea]

THE SKY IS RAISING

[BTW]

The Dow was never the problem.  It is just one of the thermometers taking the patient's temperature.  The freezing up of the credit system is the problem...and it froze up even more since yesterday. (The standard lending rate, by which banks lend each other, almost doubled yesterday... and went up even more today)

You show a gross and average american misunderstanding of the problem.  The Stock Markets will respond however they will....all of their eggs aren't involved in the problem (the financial sector, lending and credit).  The stock markets are also reacting today to the call that "there WILL be a rescue" in the very near future. 

If there isn't a rescue deal, you will have a better understanding of the issue, when your credit cards and payroll don't go through. 

Er no, you're wrong. The people telling us we needed this socialism package said the markets would collapse if they didn't get it. The markets aren't collapsing. I show a gross revulsion to fear mongers, especially anti-capitalism fear mongers.

[BTW]

THE SKY IS RAISING

(Image removed from quote.)

 

There's no spin like spin you get when know-it-alls are plain wrong.

[Ripsnort]

You can thank me partially. I bought a few good bargain stocks out there too good to be true. 

[MORAY37]

Er no, you're wrong. The people telling us we needed this socialism package said the markets would collapse if they didn't get it. The markets aren't collapsing. I show a gross revulsion to fear mongers, especially anti-capitalism fear mongers.

I don't like the buy out any more than you do.... I hate it, actually.  I hate it with a passion for the handcuffs it puts on our children, just like the war in Iraq.

I do however, understand that banks lending each other money at a standard low rate is exactly what our entire consumer economy is based on.  If it doesn't happen, everything freezes up.  The Markets, be damned.  They're only reacting to the news that there "will" be a package successfully signed in the next few days....which I fully expect to happen.  Do you realize that yesterday, our economy lost over 1 TRILLION dollars..... gaining back half a trillion is good, but the real indicator is the credit market.  

That indicator is in serious trouble.

NEW YORK, Sept 30 (Reuters) - The key lending rate between U.S. banks skyrocketed on Tuesday with other market interest rates after a surprise defeat of a $700 billion bank bailout plan caused a further drop in global credit availability.

The interest rate on federal funds, or supply of surplus reserves that banks lend to each other overnight, opened at 7 percent, well above the current 2 percent target rate set by the Federal Reserve.

The effective or average rate on fed funds was 1.56 percent on Monday after trading between 0.01 percent and 3.00 percent, according to the New York Fed.

[MORAY37]

You can thank me partially. I bought a few good bargain stocks out there too good to be true. 

Which is exactly why the market rose.... alot of people are betting on this plan to be signed into law.

[indy007]

Which is exactly why the market rose.... alot of people are betting on this plan to be signed into law.

Actually the smart people are buying & selling rather fast to take advantage of the stupid people betting on this plan to be signed into law.

[BTW]

I don't like the buy out any more than you do.... I hate it, actually.  I hate it with a passion for the handcuffs it puts on our children, just like the war in Iraq.

I do however, understand that banks lending each other money at a standard low rate is exactly what our entire consumer economy is based on.  If it doesn't happen, everything freezes up.  The Markets, be damned.  They're only reacting to the news that there "will" be a package successfully signed in the next few days....which I fully expect to happen.  Do you realize that yesterday, our economy lost over 1 TRILLION dollars..... gaining back half a trillion is good, but the real indicator is the credit market. 

That indicator is in serious trouble.

Then why do you reject out of hand the suspension of market to market accounting and go strait for the socialistic tax payer bail out?
I will do anything in my power to try to prevent any type of tax payer intervention.  There are other ways to bring back liquidity without taxpayer help but they have to get off of that market to market valuing system. The fat little market has to stop screaming for government help every time it cycles to weed out stupid.

[Toad]

Thank God it's no longer a bailout; we've improved the situation to where we only need a "rescue deal" now.

[Donzo]

IDo you realize that yesterday, our economy lost over 1 TRILLION dollars..... gaining back half a trillion is good...

Can you explain this?

I'm not understanding how an economy "loses" money.

[MORAY37]

Can you explain this?

I'm not understanding how an economy "loses" money.

1Trillion in equity value, sir.  That's what 800 points equates out to in stock valuation.  Actually, it was around 1.2 trillion $ lost yesterday.

[Nwbie]

1Trillion in equity value, sir.  That's what 800 points equates out to in stock valuation.  Actually, it was around 1.2 trillion $ lost yesterday.

Moray --- shhhhhhh

next thing you know - it will be understood that the "bailout" would only have "cost" (assuming that nothing could be resold by the fed) half of that

[BTW]

Thank God it's no longer a bailout; we've improved the situation to where we only need a "rescue deal" now.

Let the euphemisms begin.

"rescue deal" bailout
"leadership" going against the wishes of your constituents you were elected to represent.