Obama's Crash of '08

Well, in the twelve trading days since the election of Barack Obama, the stock market has posted losses every day but one.  The broad based S&P 500 has sunk from 1000 to 750.  In just a little more than two weeks.  And where has Obama been?  He resigned his Senate seat after two years of NOT being a senator but a campaigner for president.  Why resign now?  Wasn't he the guy who chided John McCain and said that they should be able to multitask and do Senate business and do their debates?  Of course, that was obviously just a way for Obama to blunt McCain's effort to take on the lead in the campaign.  And the press allowed Obama to win that point.

Usually lower stock prices could be seen as a great opportunity to pick up some bargains.  If we had elected a Republican, we would see a lot of market recovery now.  But now we have the unknown.  A truly liberal Democrat President and a very liberal Democrat Congress.   For all his faults, Bill Clinton campaigned as a moderate and eventually adopted many Republican positions after the 1994 elections.  This fear of a liberal Democrat-controlled government and what that will do to the economy has tempered the usual optimism that the economy will recover.