Wild Cobra
10-03-2008, 09:31 PM
You know how it's been said the Stock Market dropped because tyhe Bailout didn't pass on Monday? I had a different take on the issue, but had no way to know for sure. My take is that the Bailout is why the stocks fell. Not because it failed.
The stocks started dropping when the House started voting on the bill, not when it was evedent it would fail. I say because it was marketed as "going to pass" that the stock market fell. The Dow dropped more than 6.95% in value.
The next two days, after the bill failed, the market gained more than 3/4 of it's losses. Tuesdays close was 2.59% down from Monday's open after gaining 4.62%. Wednesdays close was only down about 2.775% of Monday's open after a regular trading session and a loss of 0.15% for the day.
Thursday, after the Bill was being cradled and passed by the senate, the stocks dropped again by 3.17%. Thursdays close was 5.9% down from Monday's open. Today, the bill passed and signed into law. The Dow dropped another 1.51% for the say and is now lower than Mondays close, 7.31% down.
http://i181.photobucket.com/albums/x262/Wild_Cobra/BailoutDrop.jpg
Date Open Close
03-Oct-08 10,483.96 10,325.38
02-Oct-08 10,825.54 10,482.85
01-Oct-08 10,847.40 10,831.07
30-Sep-08 10,371.58 10,850.66
29-Sep-08 11,139.62 10,365.45
26-Sep-08 11,019.04 11,143.13
The stocks started dropping when the House started voting on the bill, not when it was evedent it would fail. I say because it was marketed as "going to pass" that the stock market fell. The Dow dropped more than 6.95% in value.
The next two days, after the bill failed, the market gained more than 3/4 of it's losses. Tuesdays close was 2.59% down from Monday's open after gaining 4.62%. Wednesdays close was only down about 2.775% of Monday's open after a regular trading session and a loss of 0.15% for the day.
Thursday, after the Bill was being cradled and passed by the senate, the stocks dropped again by 3.17%. Thursdays close was 5.9% down from Monday's open. Today, the bill passed and signed into law. The Dow dropped another 1.51% for the say and is now lower than Mondays close, 7.31% down.
http://i181.photobucket.com/albums/x262/Wild_Cobra/BailoutDrop.jpg
Date Open Close
03-Oct-08 10,483.96 10,325.38
02-Oct-08 10,825.54 10,482.85
01-Oct-08 10,847.40 10,831.07
30-Sep-08 10,371.58 10,850.66
29-Sep-08 11,139.62 10,365.45
26-Sep-08 11,019.04 11,143.13