Bush and the stock market

[RecycleMichael]

When George Bush became President in January 2000, the Dow Jones Industrial Average was 11,251.

Right now it is at 11,149.

Eight years of zero growth.

I think the economic policies of this administration have proved to be bad for the American investor.

When Bill Clinton took over the Presidency, the Dow was at 3,253. His policies caused a 350% increase in his eight years.

[Ibanez]

Bush or Clinton had nothing to do with the moves of the market.

The market went up during Clinton's Presidency due to the tech bubble and the economy being fueled by debt.

The market has since gone down due to the bursting of the tech bubble, the housing bubble and an adjustment to the idiotic debt lifestyle the country has been living off of since the early 1990's.

It couldn't last forever and has nothing to do with who is President. Anyone with 1/2 a brain could see this coming from miles away. It was just a matter of when it would finally happen.

[Conan71]

Yep, pretty much debt brokers going broke, imagine that.

You can't sustain a major borrowing binge with more borrowing, sooner or later the bottom will fall out.  Economics 101.

I think most of us agree: deficit spending at the government level is not good.  Encouraging deficit spending at the corporate and consumer levels is disastrous.

The Dow growing by 350% in eight years is a bad omen.  Sort of like SEM group growing from nothing to over $6 bln in assets in eight years.  Growth like that is not sustainable forever and that much capital generation can't possibly happen without a lot of debt.

As an investor, if you know how to play the market and where the safe havens are when it gets rocky, it's not a big deal.  However if you are holding billions and trillions in debt when everyone wakes up with a hangover, chances are you could be screwed.

[Hometown]

Before Bush there was a lot of talk if the New Economy.  With the ascendancy of Bush the Old Economy came back with a vengeance.  Commodities.  We should have looked at Bush/Cheney and said "oil."

I heard once that the realtors were the top contributors to Bush.  I don't know how that compares to other presidencies but realtors and bankers and underwriters got away with murder under Bush -- until recently.

When Bush came in he talked us into recession -- his rationale for tax cuts.  As he is going out he refuses to acknowledge that the economy is anything other than sound.

Presidents and their leadership and economic policies have a huge effect on our economy.

[izmophonik]

quote:Originally posted by RecycleMichael

When George Bush became President in January 2000, the Dow Jones Industrial Average was 11,251.

Right now it is at 11,149.

Eight years of zero growth.

Your statement indicates your lack of understanding of the whole econonomy.  However, I digress.  Bush is a failure which we all know and basically has not taken this country forward compared to Clinton.  Vote McBush!!  8 MORE YEARS!!!

[RecycleMichael]

quote:Originally posted by izmophonik

quote:Originally posted by RecycleMichael

When George Bush became President in January 2000, the Dow Jones Industrial Average was 11,251.

Right now it is at 11,149.

Eight years of zero growth.

Your statement indicates your lack of understanding of the whole econonomy.  However, I digress.  Bush is a failure which we all know and basically has not taken this country forward compared to Clinton.  Vote McBush!!  8 MORE YEARS!!!

I have a basic understanding of the economy, thank you. Did I imply that this was all I know?

I digress. Yes...Bush has been the worst President in my lifetime. No one has any confidence in the American dollar anymore.

[FOTD]

Bushco Economics Summarized!

1.) Incomes shrank for most Americans over the last expansion.

2.) But Americans kept spending thanks to a mammoth increase in household debt.

3.) To increase the amount of debt in the system, lending standards were lowered.

4.) Lowered lending standards have led to a higher default rate from borrowers.

5.) Higher default rates have lowered the value of all the collateral backed by mortgages.

6.) Lowered collateral values have killed the balance sheets of literally every major financial company.

Both Bush presidents have now overseen the major failure of the banking industry. Aren't Republicans just excellent for the economy?

Sarah Palin is the future. She will save us! So vote for the stupid old souless white guy over the smart black guy.

[sgrizzle]

The dow was up when Bush took office thanks to massive corporate overspend and the dot com bubble. When it burst and september 11th hit, the fallout caused the dow to below 7,200. All this in a time too early in his presidency for him to have any effect on the economy. Since then the dow hit an all time high of over 14,000 last year which means that the Dow had almost doubled in 5 years.

[rwarn17588]

Being an observer of the economy and investing, I'd never blame Bush on everything regarding Wall Street and the current housing bubble burst (and a slew of investing corporations subsequently going down the drain). There's plenty of blame to go around.

I don't know of anyone except dimwits who think housing will keep going up 10-15 percent annually. And anyone who didn't see this bubble burst coming wasn't looking very carefully. I and others saw it coming 18 months ago.

However, you can most certainly pin a ballooning federal deficit on the administration, which never even made a half-hearted attempt to cut spending (and remember, the GOP-led Congress did nothing for six years, too). It was horribly foolish to maintain huge tax cuts in the midst of a war. In war, you have to raise money to pay for it, and curtailing a revenue source is a bass-ackwards way of doing it.

A ballooning federal deficit definitely has long-term effects on the economy, the dollar and the markets, and will continue to do so for many years.

[Hometown]

quote:Originally posted by sgrizzle

The dow was up when Bush took office thanks to massive corporate overspend and the dot com bubble. When it burst and september 11th hit, the fallout caused the dow to below 7,200. All this in a time too early in his presidency for him to have any effect on the economy. Since then the dow hit an all time high of over 14,000 last year which means that the Dow had almost doubled in 5 years.

Funny a couple of years ago you Republicans were crowing about a Goldie Locks economy.  Wrong.  And the DOW didn't get anywhere close to where it should have been given inflation and expected average annual growth of 7 percent.

[sgrizzle]

quote:Originally posted by Hometown

quote:Originally posted by sgrizzle

The dow was up when Bush took office thanks to massive corporate overspend and the dot com bubble. When it burst and september 11th hit, the fallout caused the dow to below 7,200. All this in a time too early in his presidency for him to have any effect on the economy. Since then the dow hit an all time high of over 14,000 last year which means that the Dow had almost doubled in 5 years.

Funny a couple of years ago you Republicans were crowing about a Goldie Locks economy.  Wrong.  And the DOW didn't get anywhere close to where it should have been given inflation and expected average annual growth of 7 percent.

I was?

[OUGrad05]

quote:Originally posted by Hometown

Before Bush there was a lot of talk if the New Economy.  With the ascendancy of Bush the Old Economy came back with a vengeance.  Commodities.  We should have looked at Bush/Cheney and said "oil."

I heard once that the realtors were the top contributors to Bush.  I don't know how that compares to other presidencies but realtors and bankers and underwriters got away with murder under Bush -- until recently.

When Bush came in he talked us into recession -- his rationale for tax cuts.  As he is going out he refuses to acknowledge that the economy is anything other than sound.

Presidents and their leadership and economic policies have a huge effect on our economy.

Fannie/Freddie and other real estate firms donate almost equally to reps and dems.  Blaming a housing buble on the president is laughable at best.  You can blame Greenspan for easy money for too long.  You can blame the deregulation of the banking sector signed into law by CLINTON, you can blame the corporate execs who took on bad debt.  You can blame the republican congress, the republican senate or the democrat congress and you'd have at least a reasonable leg to stand on.  Reality is it was a clumination of events that led us to where we are.  Personally I do not think Clinton or Bush is to blame for the housing/financial turmoils.  I would blame Greenspan first (easy money), the senate second who is/was supposed to be providing oversight when deregulation went into law in the late 1990s.  I blame the republican house/senate, I blame the now democrat house/senate and finally I blame the corporate execs who should have KNOWN what they were doing was unethical at best.

[OUGrad05]

quote:Originally posted by rwarn17588

Being an observer of the economy and investing, I'd never blame Bush on everything regarding Wall Street and the current housing bubble burst (and a slew of investing corporations subsequently going down the drain). There's plenty of blame to go around.

I don't know of anyone except dimwits who think housing will keep going up 10-15 percent annually. And anyone who didn't see this bubble burst coming wasn't looking very carefully. I and others saw it coming 18 months ago.

However, you can most certainly pin a ballooning federal deficit on the administration, which never even made a half-hearted attempt to cut spending (and remember, the GOP-led Congress did nothing for six years, too). It was horribly foolish to maintain huge tax cuts in the midst of a war. In war, you have to raise money to pay for it, and curtailing a revenue source is a bass-ackwards way of doing it.

A ballooning federal deficit definitely has long-term effects on the economy, the dollar and the markets, and will continue to do so for many years.

Good post...I would say tax cuts were fine its spending thats the problem.  You can't tax your way to prosperity.

[Wilbur]

A president has absolutely no control over the stock market.

And not one person in the stock market has lost money unless they have sold in a down market.  You have unrealized losses just like you have unrealized gains.  You have no losses or gains unless you sell.  You still have the same number of shares today as you had yesterday.

Everyone should be buying.... as much as they can.

[FOTD]

quote:Originally posted by Wilbur

A president has absolutely no control over the stock market.

And not one person in the stock market has lost money unless they have sold in a down market.  You have unrealized losses just like you have unrealized gains.  You have no losses or gains unless you sell.  You still have the same number of shares today as you had yesterday.

Everyone should be buying.... as much as they can.

Moronic....sit tight....Wilburr is a broker or a broken mind....what do you do Wilburr? Devils don't need a whether man to know which way the wind blows....but you blow....