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Penny-Wise, Pound-Foolish: $1 Trillion in Equity Value Lost in One Day »
September 29, 2008
First Damage: Dow Down 748
Only the first day's bad news.
And it's not just a market sell-off. A market sell-off, in and of itself, only has implications (mostly) for those who lost money.
This sell-off is anticipatory. The market is looking ahead to see a sharply contracting economy, failing business, greatly reduced economic activity, plummeting consumer spending, layoffs, bigger government debts (lower tax receipts plus more outlays for unemployment, etc.).
Not good.