Friday, June 04, 2010

Stock Market Crash Unfolding Now

The stock market fell 323 Dow Jones points today. It was reacting to a terrible May unemployment report. The tally of private sector jobs was a mere 41,000. It was expected to be in the 125-250 thousand range. There is no way thye U.S. can grow out of this recession with those kind of employment gains. Consequently we will crash. Maybe revisit the market lows of last year. That would be an additional 3000 points lower from this level.

Obama, Pelosi, Reid et al who passed a costly health care reform but can't pass a necessary financial markets reform will be long remembered as two important reasons for the crash. Simply Americans have lost faith in their central government. And who can blame them.

No comments: