I will start this post with a disclaimer. I am a novice when it comes to financial markets. I invest in stocks and such and I watch the markets, but I am not one you can consider reliable source. However, I can watch the news and make observations that are not too bad. They are just not always right.
With that said, I woke up and read the news and made some observations.
1. The Main Stream News media is hyperventilating about a 778 drop in the Dow Jones. This is the largest single day point drop in history! This is a very true statement. However, what is missing from this story line that would add context? How about the percentage drop of Dow Jones value? How big of a drop was this as measured by percentage? It was a 7% drop. On Black Monday in 1987 the Dow Jones dropped 22%. In this context, 7% is bad, but not cataclysmic.
- I read some news stories on how the over night markets went overseas. The Russian Stock Market stopped trading. However, it seems that what started out as a meltdown, has now stabilized and calm is returning. Even the stock futures market has started an upward trend that indicates calm has returned.
I am reading all this to indicate that doomsday is not upon us. We may still be in for a very rough economic situation for awhile, but it is not the Great Depression II.
I am going to finish my coffee and go to work. After all the sun came up again, so why not continue on living life.