U.S. stocks jarred by early call favoring Kerry

[54anickel]

http://biz.yahoo.com/cbsm-top/041102/d01a8c41aeb3b86f6e86c4fb0a407e84_1.html

NEW YORK (CBS.MW) - U.S. stocks fell from their highs Tuesday amid reports that John Kerry is putting in a strong early showing at the polls.
"The only thing I can see is that the Drudge Report shows the preliminary exit polls showing Kerry within striking distance," said Jay Suskind, director of trading of Ryan, Beck & Co.

Miller Tabak equity strategist Peter Boockvar said the fall was on nothing in particular, but also mentioned the Drudge Report showing that Kerry was running more competitively than initially thought.

The Dow Jones Industrial Average (^DJI - News) was last up 12 points at 10,067, paring early gains which saw the benchmark index climb as high as 10,132.99.

[progressivebydesign]

1. Oh that is SUCH bullshit! It's because the OIL Is burning in IRAQ! n/t

[peterh]

20. Bullshit???

Right now, no one cares that the pipelines have been bombed in Iraq. The day session of the NYMEX had crude down .51 @ 49.62…..the night session, which is normally a non-event, is down .36 already @ 49.26……the trading appears to be based on the election…..oil burning??? The players don’t care…..currently…..in any market….

[NVMojo]

2. yeah, nothing like trying to call the election to impact the rest

of the country's votes!!! Assholes....

[Gato Moteado]

3. look at the stemcell sector my friends...

i think it's going to go nowhere but up once we get the anti-science, anti-compassion fascists out.

[The_Casual_Observer]

4. Jarred my ass! That stupid "market" swings down bigger than this

on news that galaxo missed it's estimates! However, the news is good.

[Gloria]

5. Why don't these clods shut up!! Lots of Wall St. isn't particularly

happy with Bush...."jarred"--talk about bullshit!!

[Yo_Mama_Been_Loggin]

26. No kidding

I've been investing in the stock market since the Reagan years. It always went up in the long term. That is till Bush II came along. It's sucked since that time.

[Brotherjohn]

6. This morning on NPR analysts were saying the market was bullish...

... because of the possibility of a Kerry win; and that oil prices were down for the same reason (and these trends would continue should he win).

[shayes51]

7. I'm quite sure my stocks will do better

with a Kerry presidency. They certainly did better with Clinton! How much wealth have we all lost under Bush?!

[soothsayer]

8. The market always rocks for the first year of a new prez, so relax....

Doesn't it?

[Bonhomme Richard]

9. Yeah, the stock market gets their news from drudge......Right.

[Dover]

17. These guys probably have an investment in Drudge...LOL!

Or they are his broker...ha!

They, like the Sludge Report, lack credibility.

[Scooter24]

10. If Bush was leading..

they would spin the loss as voter worries blah blah blah...

Election Day stocks period are very volatile. Neither party is to blame IMO. It's the day after that will set the tone.

[Zorra]

11. THE MARKET DOES BETTER UNDER DEMOCRATIC PRESIDENTS:

The Democratic Dividend
The stock market prefers Democratic presidents to Republicans. Why?
By Carol Vinzant
Posted Friday, Oct. 4, 2002, at 4:15 PM PT
snip----
But Democrats, it turns out, are much better for the stock market than Republicans. Slate ran the numbers and found that since 1900, Democratic presidents have produced a 12.3 percent annual total return on the S&P 500, but Republicans only an 8 percent return. In 2000, the Stock Trader's Almanac, which slices and dices Wall Street performance figures like baseball stats, came up with nearly the same numbers (13.4 percent versus 8.1 percent) by measuring Dow price appreciation. (Most of the 20th century's bear markets, incidentally, have been Republican bear markets: the Crash of '29, the early '70s oil shock, the '87 correction, and the current stall occurred under GOP presidents.)
snip---
Nor does having a Republican Congress help the market. A Democratic Senate showed returns of 10.5 percent (versus 9.4 percent for a GOP upper chamber), and a Democratic House returned 10.9 percent versus 8.1 percent for the Republicans.
snip----
Republicans are no doubt muttering that that's just the stock market, not the whole economy. But real GDP growth follows the same pattern. Since 1930 (the first year decent data is available), GDP growth was 5.4 percent for Democratic presidents and 1.6 percent for Republicans.

http://slate.msn.com/?id=2071929

That Yahoo article is total republican propaganda!

Yahoo is a RW shill propaganda blaster.

[louis-t]

12. verrrry interesting

Thanks, I needed this.

[ProfessorGAC]

14. A Well Known Economic Fact

Same is true with the profitability of the top 25% and bottom 50% of all businesses. (Size wise.) The 3rd quartile does about the same no matter who is president, but the giants and the small business show statistically significantly better profitability when Dems are in the White House.

The opposite of the famous "Republicans are good for business" canard. But, the numbers are, what the numbers are.
The Professor

[ProfessorGAC]

13. More Competitive Than Initially Thought?!?!?

What? Have no traders, brokers, or analysts been watching the news for the last 6 months?

Anybody who thoought that Kerry wasn't going to be competitive, (or "within striking distance) is dumber than dirt.
The Professor

[seasat]

15. Another report says that its is because the election is too close.

(LINK)

From AP story:

NEW YORK - The prospect of a tight race for the presidency — and a repeat of the 2000 court battle — prompted a late selloff on Wall Street on Tuesday, with stocks finishing the session mixed despite a fresh drop in oil prices.

There was also this early report that credited a clear victor in the election for the earlier rally.

(LINK)


That first story sounds like a desperate Shrub plant to try and influence voters after the market close. The closeness factor and endless court battles sounds more like a legitimate reason, if there is any influence on the market by the election.

[Maeve]

18. And the dump may have just been profit-taking due to uncertainty

"Who knows what tomorrow will bring? Take the money off the table NOW!"--It's not that uncommon an event with investors. And some may be looking to a rebound tomorrow when things are settled...

[54anickel]

24. Yep, I think they were just pulling chips off the table. Hopefully it's

a quick tally and things can get back to "normal". Worrying about possible bad news reports later in the week.

But ya gotta love the headline! :evilgrin:

[Laelth]

16. Sounds like it came straight from FOX!

OMG, Kerry is within "striking distance!" The economy's gonna collapse. Please!

Investors aren't stupid. They're probably afraid that Bush isn't completely dead yet. They know the markets and the economy always do better under Democrats.

GOTV in the time you have left!

:dem:

-Laelth

[deadparrot]

19. Don't know if it's only about Kerry...

I just think the market hates uncertainty...it probably would have been like this either way.

[chaz4jazz]

21. Four years in the toilet...

My stocks and mutuals have languished under Botch and his no-nothing crew. Been waiting for a Dem to get back in so it can begin climbing back to the unbelievable heights of 1999 UNDER CLINTON

[Minnesota_Lib]

22. BS..The stock market has historically performed better....

...much better, under democratic presidents.

This is a last minute scare tatic from those that want to contine unregulated and often illegal scams and sweetheart cronyism from Bush that equates into quick, no-risk profits as opposed to really earning their money honestly over time.

As under every other Democratic president, these slimsballs will profit...they will just have to work for it honestly.

[Tiberius]

23. it's true

Defense stocks and health care stocks dropped about 1%. Nothing major. It's just affirmation of the fact that bushco give sweetheart deals to these industries.

Everything I've read about this minor dip indicates no one's really worried on the markets. I think they'll go up tomorrow once we realize the uncertainty is over.

[PATRICK]

25. GOP sectors vs. Democratic sectors

The difference has been more pronounced lately so that the money shifts from one side to the other. Of course, under Bushco, dinosaur pirates took ascendancy even over bonds I would imagine and it became even more an "us vs. them".

It used to be- I think- that when a Democrat one there was no great transition. For instance, Kennedy promised to grow the military-industrial complex. No problem there. Johnson promised conservative peace and stability. Carter a respite from scandal and the end of Vietnam war. It's a lot more complicated than one piece of conventional wisdom. They just stand to lose a lot of instant gratification under Bush.