Monday, September 15, 2008
Hold on to your hats
Dow futures are down 360 points this morning on news that financial institutions -- Lehman, Merrill Lynch, and AIG -- are facing life-thratening financial crises. If you need more evidence that we are in for a rough ride, look no further than this morning's Wall Street Journal on dead tree, which features a banner headline. The WSJ reports that Merrill is "solid," but Lehman is going under and there will be a cascade from there and AIG needs $40 billion according to the talking heads on CNBC. Oil, meanwhile, has fallen to around $96, and there are suddenly commentators who think that it could fall into the sixties.
If we are very, very nice to him, perhaps Mindles will report in from the actual front lines.
MORE: As other bloggers have already written, the real challenge of the current financial crisis is in the reaction. It is not good that this is happening during an election year, although I must say that both presidential candidates have been awfully quiet so far. I suspect that a close inspection of their lists of donors would explain why.
CWCID: Glenn Reynolds.
5 Comments:
By 
Mrs. Davis, at
Mon Sep 15, 09:12:00 AM:
What impressed me about today's WSJ ODT was that it did not come in the traditional vertical tri-fold stuck in the bag, but a horizontal bend just like the local paper.
And the hysterical banner headline said nothing so much as Murdoch. Another historic franchise continues to disintegrate.
You are correct that what is remarkable is that neither candidate has seized on this issue. If McCain were smart, he would do so first. He's done fund raising and the stables do need cleaning. Why not tell us his plans now and gain votes as the Main Street candidate, isolating the elitist Obama with his Wall Street friends?
By Sweating Through fog, at
Mon Sep 15, 09:35:00 AM:
One thing that is clear to me: we seem to be spending an inordinate amount of attention on candidate's foreign policy experience. And their Supreme Court pics. How come candidates never get quizzed on their understanding of financial markets, regulation and banking? How come we never ask candidates about what they will look for in Federal Reserve appointees?
By 
, at
Mon Sep 15, 11:00:00 AM:
FWIW: The WSJ headline in the photo says Merrill is "SOLD", not "solid".
By Who Struck John, at
Mon Sep 15, 12:01:00 PM:
I'll be surprised if Mindles has time to post anything today. I think he's going to have a very long day.
By Dawnfire82, at
Mon Sep 15, 12:52:00 PM:
"One thing that is clear to me: we seem to be spending an inordinate amount of attention on candidate's foreign policy experience. And their Supreme Court pics. How come candidates never get quizzed on their understanding of financial markets, regulation and banking? How come we never ask candidates about what they will look for in Federal Reserve appointees?"
Because foreign policy and Supreme Court selections are specifically Executive specialties. The Presidency historically has had very little to do with domestic economics. That's Congress's purview.
