I wrenched my back yesterday struggling with a heavy suitcase when I picked my mother in law up from the airport. Lower back strain. Not fun. But it appears I’m not the only one suffering this morning.
The global markets are in a free fall, again:
NEW YORK (AP) — Wall Street headed for another precipitous drop Friday as fears of a punishing global recession stirred panic among investors and sent world financial markets into a tailspin. The Dow Jones industrial average futures fell as much as 550 points, triggering a freeze in selling.
The massive decline was caused by increasingly grim news from overseas. In Japan, shares of Sony sank more than 14 percent after it slashed its earnings forecast for the fiscal year. In Germany, Daimler’s stock dropped 11.4 percent in morning trading after it reported lower third-quarter earnings and abandoned its 2008 profit and revenue guidance.
Japan’s Nikkei stock average fell a staggering 9.60 percent. In Europe, Germany’s benchmark DAX index was down 10.76 percent, France’s CAC40 dropped 10 percent while Britain’s FTSE 100 sank 8.67 percent after the governmnet said its gross domestic product fell 0.5 percent in the third quarter, putting the country on the brink of recession. […]
Fearing more carnage in world equity markets, big hedge funds and other institutional investors have been pulling out their money en masse in a bid to reduce risk and raise cash — a process known as deleveraging that only intensifies the selling.
By the way, the US dollar fell to a 13 year low against the yen, which seems to be the currency of choice for cash hoarders. $1 is now worth around 93 yen. The dollar had been trading in the 105-98 yen range for the past month or so. The dollar also fell against the Euro. Yesterday I listened to some financial analyst on NPR’s Talk of the Nation speculate that the market could go as low as 6000 in a worst case scenario, but he was still advising people to buy stocks because they are such bargains right now. Something tells me they are going to be bigger bargains after today.
Something tells me our newest Republican financial wizard, Karl Rove, will find a way to blame Obama (or his trip to visit his ailing grandmother) for all this market chaos.
Bonus: Here’s the video of “Republican Strategist” Brad Blakeman blaming Obama for flying to Hawaii to visit his his gravely ill grandmother. The Blakeman screed begins about 3 minutes in after he was asked a question about Palin’s “wardrobe malfunction.”
Update [2008-10-24 9:9:37 by Steven D]: This is probably all Obama’s fault, too:
NEW YORK (Reuters) – Corporate America is bleeding jobs and wielding the ax well beyond the financial sector.
As companies look at their prospects for the final quarter of the year and begin to see increasingly grim outlooks for 2009, they are cutting jobs from many different parts of their businesses. They are also slashing capital spending and, in some cases, dividends and even wages.
Steven, I recommend “Pain Free” by Pete Egoscue and some inversion therapy for your back. And stop picking your mother-in-law up while you’re carrying suitcases – one old bag at a time! :>)
The economy is woeful. Our small business is walking a tightrope and has been for several months. We’ve had to cut staff, and we’re spending every dollar like it’s our last.
Read BooMan’s appeal for coin earlier and I completely understand both sides of this. The news just keeps getting worse, folks are worried and aren’t parting with cash. We had three clients this fall who postponed their projects indefinately – need to raise the $$.
I ask everyone I see how their business is doing, and the answer, since August at least, is “SLOW”. A friend of mine was laid-off from a car dealership on Friday (12 years there) and thinks he has about 8 weeks to find a job before he starts getting in trouble (Unemployment Ins in NH tops out at about $350 week.) He’s not hopeful and has already cut back everywhere he can.
What’s happening out there to you?
Hey Steven,
I feel your pain. Get well soon.
To the point:
As GE goes so goes America (used to be GM).
GE to Use Fed’s Commercial Paper Facility Next Week (Update2
and that’s with the spin. There’s a $1 million L/C (letter of credit that went unpaid.
I’m reading elsewhere ships are in ports and can’t unload. Letters of Credit are distrusted. If goods from overseas can’t be unloaded, next come truckers and trains….and shortages.
everybody will be at the Fed bowl. Fed will be pushing on a string. It’s grim.
On Bloomberg, as I write they’re talking about closing down the markets.
Roubini suggested this week that markets will need to be shut down for a week while they re-group.
I’m glad I still have left over bird-flu supplies!
many won’t be able to cope….over the next 3 years.
Serious.
paying attention to food security is a must.
Roubini just might be on to something which might be worthwhile the week of the election. Things will probably really begin to gyrate as we get into the Monday before Election Day when the final polls are being announced. Perhaps it might make sense to just shut down for that week to allow everyone a chance to review what has already occurred and what might happen as a result of the election. It would also allow whomever wins to have a brief window to address the nation without the specter of the stock market moving within minutes of their talking to the electorate. The first two days of that week will likely not see much good done anyway as everyone watches the impending election activities to determine just how significant the election results might be.
Lower back pain always just brings out the ‘just shoot me’ feelings from me. Good luck with that.
Strangely on the economy and the R’s right now I almost get the feeling that they are already subconsciously looking to Obama for leadership out of the economic mess…they’re upset because he’s left town but there’s no celebration or looking to McCain for leadership, instead they’re waiting for Obama. He’s made more inroads than even they know.
Here’s a fantasy football funny for you, though: LINK
Can’t even talk about how scary the economy is today…
Thanks, I needed that.
(I was going to make a joke about needing a new partner in FF team management and wondering if O was available, but figured I better not…)
Get well Steven!
Hey Steven: Lower back pain is not a fun deal at all. When I have back spasms, it generally takes about 5 days to run its course. Muscle relaxants seem to help a bit. I also use ice packs for about twenty minutes at a time, right where it hurts the most. This seems to dull the pain somewhat.
If someone would come up with a way to get your shoes and socks on during this ordeal, they could make millions and perhaps trigger a world wide rebound from the financial abyss we seem to be in. Take care, hope you feel better soon.