Well, Hank Paulson (who looks like a Halloween decoration, by the way) got his $700 billion dollars, Nancy Pelosi and congress got to keep all the pork that they stuffed into the so-called bailout package, and the American taxpayer got stuck with the bill. Less than a week ago, Treasury Secretary Hank Paulson, Fed Chairman Ben Bernanke, President Bush and various Congressional leaders basically told us that without passing their bloated, socialist, toxic legislation, that the sun itself would burn out and all life on earth would be doomed.
Well, the morning that the House took up the measure, the stock market was trending up. And while the economy was far from perfect, there was a notable feeling of manageability, if not muted optimism. Then as the House passed the bailout bill and Bush signed it into law, the Dow took a huge step backwards… almost at the exact moment that Bush put his pen to the paper.
So now today, with the bailout’s fate no longer a question, the Dow managed to lose another 350 points overall, after opening losses of 800 points that lingered for most of the day. Local stocks took a hit, including ADM which dropped to $17.82, down roughly 66% since April. Other local notables, including Cat, Consolidated Communications and PPG all lost as well, while Norfolk Southern rose more than $1.00.
One could argue that since the bailout money has yet to be distributed, it is still too early to know if it will work. Even though the cash hasn’t been carved up and doled out yet, a positive reaction from Wall Street would certainly be in order, if the market had a positive perception of the bailout plan and the people behind it.
That having been said, the stock market is a fickle creature, rising and falling with the tide of human emotion. Therefore, a broader view of the stock market can be a good indicator of how investors are looking at the bigger economic picture. Just as importantly, it also acts as a barometer for other markets and metrics, such as the housing and credit markets, unemployment, retail sales, etc. Right about now, the vital signs don’t look so good.
Thanks to our fearless leaders, we are still stuck with the same financial crisis as before. Only now we have a steeper price tag and a heavier financial burden strapped to the back of every household and individual taxpayer. Sadly, the lunatics are still running the asylum. The very same people who created our current economic situation, particularly those in the Democrat Party, have put themselves in charge of cleaning up the mess. Good luck with that.
Michelle Malkin sums it up nicely: Taste the Crap Sandwich.
Posted by John 
