The stock market posted its biggest retreat since the financial crisis on Thursday. The Dow Jones industrial average closed down 513 points, the worst drop since October 2008.
The Standard & Poor’s 500 index was down 3 percent late in the trading day, bringing it nearly 11 percent below its recent high of 1,363 reached on April 29.
Now the next step is the same as the first ones, constantly blame Obama.
Note: I called this the other day….[from three days ago, when the outline of a “deal” emerged.]
I hate that this is story is true, and that the people who caused this mess, still do not seem to grasp what it meant, and will continue to mean, to the rest of the world economy.
If you think this the last if it, you have no idea how this stuff works. Thousands of very wealthy folks just got the crap scared out of them. Their financial advisors will do what it takes to make sure it doesn’t happen again.
Oh, by the way. We get to do this whole debt hostage crisis farce again in six months after the new debt commission deadlocks over taxes (again), and triggers another round of massive cuts or another “crisis”.
So after the world has had a chance to digest the crap-sandwich that was made to appease the Teatards and still failed to get them to sign on, they’ve realized that not only is the U.S. easily influence by people with no inkling of how global economics works, but that there are quite a few other places with more attractive long term outlooks.
The sick thing about this whole mess? The U.S. economy was actually doing pretty good with the whole recovery thing until we hit the debt ceiling in May. Then we got a few months of sluggishness and posturing, culminating in a deal that does everything wrong (cuts spending during a recession and doesn’t include a dime of new revenue to pay down increasing interest payments), and promises to do more wrong in the near future.
The Republicans were *very* scared that a recovery would propel Obama to an easy victory (and it would have). So instead of doing anything that might put people back to work, and get the economy moving again, they have instead decided to do everything they can to cause a deadlock, turn around and blame “the government” for the deadlock, and run against the resulting economic paralysis, as if they had no part in it.
It is an intensely cynical and dangerous strategy. The Tea Party, in general, dismisses the rest of the world (and their concerns) as utterly irrelevant to the future of the United States. Now we get to see what happens to our economy when that sentiment is thrown right back in our faces.
UPDATE: Check the first comment below…not only has it already started..it is happening the same way most idiots argue…with numbers they made up or got forwarded in the email.