Dow takes a direct hit.

[Bill Greenwood]

After having a relatively mild day Tue, the stock market took a direct hit in the main fuel tank today with the Dow down 733 points. It's hard to believe that a year ago it was pushing 14,000 and now is 8500. It is frightening.

One of the scariest things is I don't really know what to do about it. If I woke up tomorrow and was president, what would I do for the economy? I am not sure anyone else knows either. Congress passed the big bailout, the market rallied hugely and now went down almost as much. What is left to do?

The last debate will be tonight, and I am sure both sides will have moves to offer, but there doesn't seem to be any sure thing or easy way back. There are steps to take, but no guarantee and in any event neither candidate can do anything directly til late Jan when they take office.

[APG85]

Wheres J.P. Morgan when you need him? There was a good little editorial on this in today's USA Today...

[LadyO2Pilot]

What is left to do?

Stop the Hedge Fund Short Selling. One of the reasons we had such a large jump on Monday was it was a banking holiday and the hedge fund traders were not in their offices.

[b29flteng]

Being just a dumb mechanic that can spell "stock market" only on a good day, I just find it amusing, in a gallows humor way, that if a world leader sneezes the market takes a dive. I sometimes think the media can start a trend by putting out an inaccurate story, or the profit of company XYZ is lower than expected, can cause such an effect. I don't have two nickels to rub together let alone invest in the market so it hasn't hurt me, yet..... I'm still better off than I was last year, as I was before that, or my parents ever were. I can live in a tent or camper if need be and live off the land. GOD bless this great country!

[Bill Greenwood]

Karen, even though my degree is a BBA with a major in finance and I was, by training, an investment broker, I am not that knowlegable about hedge funds and their effect on the market. I do know that the commissions and fees from hedge funds can be large.

Nader said that if there was a tax, (10%?) on profits from derivatives that it would raise $500 Billion without affecting the average taxpayer. He also thought the bailout bill as passed would reward the wrong people and needed revision. I won't waste a vote on Nader, but I'd like to see him in a new cabinet level position like Sec. of Consumers, or Sec. of Taxpayers.

[Bill Greenwood]

B-29, even if you really were only a "dumb mechanic" your customers may not be, and they are likely deeply hurt by the market losing 45 % from the high and all the related problems; and this will likely have a big affect on almost all businesses.

The down push today may have come from lower retail sales and we see on tv that retailers are already scaling back on Christmas planning, hiring, and ordering.