In the here and now, the Dow has dropped 52.5 percent since its high of 14,279.96 on Oct. 11, 2007, to its low point of 6,779.62 during intraday trading on Monday. (Update 1:16 p.m. PST: At Monday's close it was 6,763.29, a drop of nearly 300 points from the previous close.)
And in taking a similar period of a year and five months in the late 1920s, it's a case of deja vu. The rate of decline is mimicking that of the Dow during the Great Depression.
Back on September 3, 1929, the Dow hit a high mark of 381.17. And over a similar length of time, it fell 54.7 percent to 172.36 on January 2, 1931.
"It's very troubling if you have a mirror image," said Phil Dow, market strategist for RBC Dain Rauscher & James...
..."There is an opportunity for a globally orchestrated recovery," Dow said. "This won't be the end of capitalism. At some point we'll reach the bottom in the housing market, people will start buying cars again, and inventories will be rebuilt."
It might not be the end of capitalism, but it may well be the end of certain aspects of our most recent approach to it.
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