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Washington and Wall Street, my time to vent!!

By
Real Estate Agent with The Bean Group

I know most of you in the AR world have known, like me, that we are in a recession. We have known that its been this way for a year or more, so why didn't the Gvernment act faster to try and resolve the issues facing the Nation sooner?  Political pressure, lobbyist pressures, call it whatever you want but Washington knew things were bad back in late 2007 and sat on its big fat @@@ (butt) and did nothing!

Think about what was just reported on the news the other day when the Gvernment finally acknowledged the recession, they stated that we probably have been in one for a year.  Well isn't that just special,it only took them over a year to figure it out! What were they smoking for the past year ( I would like some)! To top this off, after the news comes out the market falls almost 700 points on the news, what was with that? Did they not know themselves that we were in a recession, I certainly did. Wall Street should have been well aware of the news and not been surprised at all when the Government made its announcement. Instead they used the news to panic again and dump more stock and drive the market down. What will happen to Wall Street next to cause them to drop the DOW more, will it be the announcement of job losses? Gee lets see, if a recession is happening, real estate values have plummeted, multi billion dollar bail outs are happening, doesn't that mean job losses will occur next.

When the unemployment rate hits 7.0 or 7.5, will Wall Street suddenly let the bottom fall out of the market and have itself fall into the 7000 range or (heaven forbid) into the 6000 range? I guess the point of my post is this, when will sensibility finally hit not only Wall Street, but the Government. Wake up things are bad, very bad for many, so stop panicking. Americans are being told to hold onto their 401k's and IRA's, but are the big boys holding onto their stocks? Doesn't seem like it to me, they seem to be selling now on speculation just as they did when they bought on speculation when they drove the market up.

In the end I just wish the Government would get it's act together (maybe this will happen in January) but since the new administration will not be in place for another 5 weeks or so, Wall Street needs to get a grip and stop over reacting to news we all know is coming.

Comments (4)

Pacita Dimacali
Alain Pinel - Oakland, CA
Alameda/Contra Costa Counties CA

Last year when all we heard and read in the news was how the real estate market was tumbling, and  we all wished the media would shut up and focus on good stuff. Now, it's confirmed we've been in a recession since a year ago.

We already had a horrible 2007. In my neck of the woods, we're seeing price reductions, but we're continuing to sell property. So it's not exactly a desolate, barren marketplace.

There is evidence of a slowdown. It's reflected in my favorite local restaurant, whose owner has said that his business is not as robust as it was. So I told him that I am doing my part to help stimulate the economy --- I will continue to eat there and in turn, keep his business going, his employees and his vendors employed.

Trickle down economics? Well heck, why not? 

Dec 03, 2008 05:55 PM
Christopher Bonta
The Bean Group - Londonderry, NH
Realtor, Integrity and Honesty

Pacita, I here what your saying and I think the "trickle down' theory is good. For my part I replaced my septic system (for about 10K) and had to replace both cars we own.

Thanks for your thoughts.

Dec 03, 2008 11:15 PM
Gail MacMillan
Titusville, FL

Hi Christopher- I don't have kids but have plenty of friends that do.  Watching them and how they relate to their friends compared to their parents generation is fascinating.  Sometimes I get the impression they live dual existences....as in double personalities.  Another thing I've noticed is that kids really do help keep you young.  It sounds like you have a great relationship with your son :-) Have a super weekend, and thanks for stopping by my blog today, always appreciated.

Gail MacMillan Titusville Fl Real Estate

Dec 05, 2008 07:40 AM
Gail MacMillan
Titusville, FL

ooops - Just realized I commented on the wrong post...but you probably already figured that out - Sorry ;-)

Dec 05, 2008 11:55 PM