Dow trading higher then back in 2000 - Is Bush really that bad?

It's hilarious... he's describing the very people he supports

 

I wonder if people take volume into account (if they're even aware of such).....probably not.

 

ummm. Bush doesn't have shit to do with markets

 

Generally, yes; although if he doesn't focus enough on monetary policy or energy issues, then his inaction could have ill-effects. I believe his reducitions on taxing dividends have had positive effects ie it helped with investment.

Too bad they dont' just have a school focusing on educating politicians about economics and foreign policy...they need it.

 

When they're bad!

 

so bush's failure to protect america, constant fear and war mongering, and unrelentless spending have no effect on anything?

 

this could be another depression.

 

Every time you post things like this, I picture Kip wearing a do-rag and gold chains saying "babes" with a lisp.

 

The Dow Jones number has nothing to do with the economic wealth of America. It only shows that corporate numbers are getting better where the money goes to the few that run the show. The majority of Americans are getting poorer and poorer everyday due to higher cost of living expenses from high gas prices and general daily necessities while the median wages have not risen in the past five years.

If I was a Republican with a million dollars in stock, I would feel that the Dow has made me some money. But in reality when the American dollar is losing ground to the Canadian dollar year after year, you know exactly where we are heading.

If China was to unpegg their currency, then the average American would feel really poor.

Oh, the rest of the world hates us.

Was Bush bad? Definitely.

 

Regardless of who is in office money will flow somewhere. DOW going up, now hitting altime new highs, means more cash is flowing into the stock market. Price of oil and gold is going down because money is flowing away from those markets. Real estate was booming past few years because every Joe Blow was feeding their money (debt really) into the frenzy that was the real estate market. That bubble has burst and prices are coming down because not enough new capital is flowing into real estate.

All these markets move independantly of each other and at the same time are dependant upon each other in weird ways. Money flows form one market to the next as it chases returns. Whatever government is in office at any given time has a miniscule effect on markets. Money flows are far more powerfull than government policies that attempt to control it.

Now lets see how the real estate bust will play out over the coming years and its effects on other markets.

My take is that money flows from gold and oil are now flowing back into the stock market. But the stock market is becoming vulnerable to the ripple effect of a real estate bust. Those who paid overinflated prices on their homes are about to face a wake up call as intrest rates rise and their mortgage payments increase. Then when they can no longer afford those higher payments, they will be shocked that the value of the home is now worth less then they paid for it. And they will have a hard time selling anyways because buyers have left the scene. Foreclosure and bankruptcy rates are going to soar putting a large strain on the economy. Thus cash flows into stocks will deminish bringing the market down again.

This is the neverending cycle
Boom, Bust, boom, bust, Boom, Bust,Boom, bust, boom, Bust, Boom...................................................................
bolds and caps used to show their are cycles within the cycle.

Which ever party, dems or reps, are in power take the credit and blame for whatever side of the boom/bust cycle is occuring. This cycle has its own rythm and is not tied to 4 year election cycles. Blaming them for busts is futile, and them taking credit for Booms is disingenuous.