Exactly one month ago I asked what I thought was a prescient question, “Is it a string or a thread?” At that moment I did not know if the Dow rolling below 15,000 (ultimately a 1000 point drop) was a precursor to another upswing, or a more permanent downswing.
Turns out it was a string, attached to a yo yo, that took us down to 14776 and then back up to 15,676, with new all time highs in the Dow and the S&P. There is a rumor that Jaime Dimond, head of JP Morgan Chase (recently fined 1 billion – a new all time record and they had to admit wrong doing) bought a unicorn with his profits.
It’s just a rumor.
We are on our way back down to 15,000 as I write. For you and me, sitting here in middle America, with middle America values (where Americas Exceptionalism truly rests), we pretend the actions of these people don’t matter to us, because we don’t have money in the stock market. However, if you have a credit card, check card, check book, mortgage, 2nd mortgage, another credit card, a student loan, and a boat, believe me, you are invested in the stock market-not crashing so you don’t lose your job. This describes about 80% of America by the way.
It would be myopic to believe, after what we saw occur in 2008, that this can not happen again. It can. In fact, we fixed nearly nothing, actually prosecuted nobody, devalued the dollar 20 percent, killed a few hundred civilians in Pakistan, backed Julian Assange into an embassy in London, told the world that Bradley Manning wanted a sex change (I hold a personal grudge over that one), and watched Rand Paul bring the Senate to it’s knees over Drones in America (he is actually credited with changing the national sentiment). Fresh circus daily.
I write this because someday that string, attached that yo yo we call the financial markets, is going to break. Sadly, this I promise.
In the space between the Libertarian Party endeavor to lesson the impact of that day by educating. Join us for Road Signs, Our Political Economy featuring UWRF professor Brian Huffman with opening remarks by Karen Hale.
Tickets can be found HERE.