Economic Roller Coaster

[bjarvis]

Yesterday, while the US markets were closed for the Martin Luther King Jr holiday, the world's stick stock markets tanked. Badly.

I swear, I take one day off work and the planet goes to hell.

This morning's market openings were hideous (the Dow off 384 points) but the Fed cut interest rates by 3/4 of a percentage, the largest single cut since 1984. The Dow has rebounded to being down "only" 158 points at the moment.

It's gonna be one of those years...

Comments

[bjarvis.livejournal.com]

I was only eye-balling it off of Yahoo, not searching for a definitive minima-du-jour. When I glanced just after completing a couple of work tickets --see! I do work for a living!-- it was off 384 at that point and seemed to be rebounding.

Just glancing again, Yahoo reports the Dow off 190 points so rebound may simply be a dead cat bounce rather than an effect of the rate cut.

*arms flailing on the ride* Wheeeeee!!! :-)

[jss]

I suspect it's more profit taking, though the CBOE volatility index (^VIX, which CNBC was calling the "fear index") was up 8.6 points (about 32%) at some point this morning.

It's definitely going to be an interesting ride.