Dow Forgets We’re Recovering, Drops 1,000 Points
Posted on May 6, 2010
Fears that this might be a jobless recovery turned into fears that this might not be a recovery at all on Thursday as the Dow dropped about 1,000 points. It quickly rallied, leaving the loss at the world’s biggest casino at 347.80.
The plummet, which reportedly got a big assist from automated trading, had something to do with the possibly contagious economic plague in Greece.
In the disturbing words of one analyst, quoted by the AP:
“The market is now realizing that Greece is going to go through a depression over the next couple of years,” said Peter Boockvar, equity strategist at Miller Tabak. “Europe is a major trading partner of ours, and this threatens the entire global growth story.”
“Global growth story” being Wall Street speak for not needing to sell our jewelry for cat food. —PZS