In This Issue:
Stocks Plunged, But The Expected Crash Didn't Occur
Many Investors Were Pleased To See Some Bailouts End
A Recession Is More Likely, But It Isn't Assured
Many Companies Are Having A Good Year
It's Time For Bottom Fishers To Unfold Their Nets
The Dollar Rebound May Be Over
The Bottom Line This Week
back at the stock market of last week is like looking at the distant past.
Compared to the big changes that have occurred since then, the five day period
belonged to a different era. For the record, the Dow and the Nasdaq gained 1.8%
and 0.2% respectively.
everybody knows by now, this week opened with a 504 point plunge after the
government failed to find a buyer for Lehman Brothers. The news was a shock
because investors expected a repeat of the Bear Stearns shotgun marriage to
J.P. Morgan that prevented a stock market quake in March. When the rescue
attempt for Lehman fell apart, many investors headed for the door.
was a brief rebound on Tuesday but stocks plunged another 449 points the next
day. High volatility seems likely to continue for quite some time.