8537
VIP Member
Kidding about what?
The market took a nose dive this week.
And it's not because they were tickled pink about what happened in Congress.
Some of it was Europe..but most of it was due to austerity measures.
Most of it isn't due to austerity measures, though some may be. This is about a slowing economy, particularly the revisions downward, and the problems in Europe.
Why is the economy slowing?
Because government supports - both fiscal and monetary - are fading at the same time that European markets are struggling, production is still flat and US firms aren't ready to begin taking risks.
Take a look at what Treasuries did today while every other asset declined. It was an intense flight to safety. Short term treasuries were trading so high that in some cases people actually paid the government for the courtesy of holding their money.
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