Bush, Pelosi, Reid and the Dow

[Purseval]

In another thread I mentioned that the stock market has dropped 2000 points since Obama was elected and 1000 points (later corrected to 1073) since he was inaugurated. Another poster took me to task for conveniently forgetting the precipitious plunge that happened before he was elected. So, as a form of redemption, I did a little digging and came up with some numbers. Just for a little background reference, WJ Clinton had a Republican-led House and Senate during most of his term. If someone has the time to check and see how the Dow did from the time the Dems lost until Clinton left office, that would make for an interesting comparison.
Anyway:

January, 2001 - Dow 11,722.98 New record high for the Dow as President Bush takes office.

September 11, 2001 - The Dow falls to 8920.70 after the 9-11 terrorist attacks.

October 9, 2002 - The Dow has fallen steadily since 9-11 and is now at 7286.27.

November 3, 2004 - The Dow is at 10,137.05 in spite of the fact that John Kerry has spent an entire campaign attacking President Bush as bad for the economy, the Dow goes UP 101.32 after President Bush defeats John Kerry.

January 20, 2005 - The Dow at 10,471.47 has continued to get better since George Bush defeated John Kerry and is inaugurated a second time.

November 8, 2006 - The Dow is at 12,176.54 as the Democrats take control of the House and Senate.

January 3, 2007 - The Dow is at 12,474.52 as the Democrats are sworn in and take office. Nancy Pelosi and Harry Ried make it clear they are taking control of the Government from George W. Bush.

July 19, 2007 - The Dow hits 14,000.41, the first time in history the Dow has reached this high. So far during President Bush's term in office, despite having suffered the worst terrorist attack in the history of the world, the Dow has gained 2277.43 points during what Democrats call a bad economy.

January 3, 2008 - The Dow is at 13,056.72. The Democrats have been in control of Congress for one year and during that time they managed to take a growing stock market that had enjoyed an all time high and bring it down by 943.69.

November 5, 2008 - The Dow is at an abysmal 9139.27. This is a loss of 997.78 points since the Democrats were elected to Congress in November of 2006.

January 3, 2009 - The Dow is at 9034.69. The Democrats have been in control of both the House and Senate for two solid years and during that time the Dow has lost 3439.83 points from the moment they took office. It is also down from it's high of 14,164.53 by 5129.84 points.

January 20, 2009 - The Dow is down to 8519.77. Obama is sworn in as the President and the Dow is now 400.93 points LOWER than it was on September 11th!

March 4, 2009 DJIA is at 6,875.84, that's 7166 points lost since Democrats took back the House and Senate.

There, I hope that the poster who scolded me feels better now that I've set the record straight.

[OctMtnWoods]

Well, when you put it like that, damn that sucks. So looking forward to the next few years.

FYI, I think your second 1/3/07 should be 1/3/08.

[DancingBear]

Yes, and it's all Obama's fault. AIG, Countrywide, Bear Stearns, IndyMac, Merrill Lynch, Fannie and Freddie, Citigroup, Bank of America, Lehman Bros., the housing bubble, credit default swaps, you name it. All Obama's fault.

[redlight]

So, I see. The Dow went down 3,000 points during Bush's term, and it's Obama's fault.

[DisneyMomOK]

There is good reason the public has a huge distaste of Congress.

[Tigger Woods]

Originally Posted by redlight

So, I see. The Dow went down 3,000 points during Bush's term, and it's Obama's fault.

The Dow has gone down 3,000 points during Obama's term. Is that Bush's fault?

[Planogirl]

Originally Posted by DancingBear

Yes, and it's all Obama's fault. AIG, Countrywide, Bear Stearns, IndyMac, Merrill Lynch, Fannie and Freddie, Citigroup, Bank of America, Lehman Bros., the housing bubble, credit default swaps, you name it. All Obama's fault.

It's amazing what he accomplished before he was President.

Seriously, we can all play the blame game. It's pretty clear though that a lot of factors played into this on all sides and from all directions.

[SwedishMeatball]

Originally Posted by redlight

So, I see. The Dow went down 3,000 points during Bush's term, and it's Obama's fault.

Are you referencing the other thread that was mentioned in the OP??

[Charade]

[redlight]

Originally Posted by Tigger Woods

The Dow has gone down 3,000 points during Obama's term. Is that Bush's fault?

The market has not gone down 3,000 since Obama has been President, the drop is about 1,500 by your own post. And to the extent that it has gone down, the market drop is at least in part Bush's fault because the market is reacting to news about how bad the economy was in 2008, when Bush was President.

[corndog]

Does anybody understand what a stock price represents? It is a the discounted value of a piece of the future cash flows of that company. Stock prices go down, because the future looks bleak. When the future looks good, the price goes up. Prices really started to tank when it became obvious that Obama would win--that is, the market believed his policies would cause the future to look bleak.

We would all be alot better off if people were capable of comprehending this.

[corndog]

Originally Posted by redlight

The market has not gone down 3,000 since Obama has been President, the drop is about 1,500 by your own post. And to the extent that it has gone down, the market drop is at least in part Bush's fault because the market is reacting to news about how bad the economy was in 2008, when Bush was President.

The market doesn't react to the past. The market is a predictor of the future. See above.

[redlight]

Originally Posted by corndog

The market doesn't react to the past. The market is a predictor of the future. See above.

The market does predict the future, but it also relies upon data and experience of the present and the recent past. The 4th quarter turned out to be much worse than the preliminary figures had indicated, and thus the market had to factor that in.

[DisneyMomOK]

Originally Posted by corndog

Does anybody understand what a stock price represents? It is a the discounted value of a piece of the future cash flows of that company. Stock prices go down, because the future looks bleak. When the future looks good, the price goes up. Prices really started to tank when it became obvious that Obama would win--that is, the market believed his policies would cause the future to look bleak.

We would all be alot better off if people were capable of comprehending this.

You mean the guy that thinks p/e means "profit and earnings" is not instilling confidence in Wall Street?

[Tigger Woods]

Originally Posted by redlight

The market has not gone down 3,000 since Obama has been President, the drop is about 1,500 by your own post. And to the extent that it has gone down, the market drop is at least in part Bush's fault because the market is reacting to news about how bad the economy was in 2008, when Bush was President.

I'm not the OP, but you're right. I should have said the market has dropped 3,000 points since Obama was elected .. My bad ..