The budget is here! The budget is here!

Go read it for yourself.

I started to skim through and found an interesting bit on page 8. Did you know consumer confidence is at an all time low? They even give you a chart. I guess the main dude isn’t clever enough to understand that dramatic drop takes place as he’s nominated for the Democratic party. It mimics the DOW.

Chicken or the egg?

Comments

  1. So the downturn in consumer confidence (and the DOW) can be blamed solely on the Democratic nomination of Obama for Presidential candidate?

    Had nothin’ to do with the loss of available credit facilities to an American consumer with a negative savings rate would it?

  2. Loss of available credit – the bubble burst. What causes a bubble to burst? Change in what? Optimism? Confidence?

    Maybe the rhetoric of a very, very liberal candidate with unbelievable momentum.

    I am willing to concede there was more than one issue at play. I won’t give up on the idea completely, though. There’s too much coincidence to not look deeper.

  3. PS – I see BO’s budget tanked the market again. Bummer.

  4. I like Cindy’s idea that recently EVERY time something comes out of the White House, there is a drop in the market.

  5. J. Strupp says:

    “Loss of available credit – the bubble burst. What causes a bubble to burst? Change in what? Optimism? Confidence?”

    I think you severely underestimate (or downplay) the negative impacts of financial crisis on capital markets. The looming banking crisis (and economic fallout shortly thereafter) has been building since August of 2007.