DOW JONES Industrials crash. Now below 8,000

As the celebrations in Washington, DC go long into the night with 10 major inauguration balls and parties on tap, traders on Wall Street have not been quiet. The DOW JONES industrials dropped below 8,000 late this afternoon losing over 300 points.  I would say that having five billion shares trading today is a huge illustration of stakeholders uncertainty on where to invest their money.

The challenge for our new president is to figure out what reaction these stakeholders will have to his recovery plan.

Juice readers. Based on the latest Wall Street data is this a good time to buy stocks?

Every four years the incoming president of either party is given a brief honeymoon period to get his feet planted on the ground. With many Americans out of work and having hundreds of thousands of homes facing foreclosure, 401K’s now 201k’s, how long will the honeymoon last for president Obama?  100 days, one year or more?

About Larry Gilbert