Tuesday, October 07, 2008

It is coming?!

As US Senate and Congress had passed the 700bil bail-out bill for US financial system, the market recently doesn't show the investors have faith on the succeed of the plan.

Yesterday night, Dow Jones dropped 508.39, which was 5.1%.
If the trend goes still, the market is totally gone in 19 more days. Of course, it is just a joke. But the future of the market is definitely depressing everyone.
So, what we are looking for is... How worse can it be? How we are getting affected?

To predict future, we have to read the past, since Lehman Brothers Holding filled Chapter 11 Bankruptcy Protection, Dow Jones Industrial Index dropped 1470.40, how optimistic we could be?

Please don't think that Dow Jones Industrial Index has nothing to do with us, even though we don't have any investment in NYSE. Dow representing US economy. If US economy recess, US people buying power will shrink, thus less goods will be imported to the US, which then affect our country's economy growth due to less exportation volume, and then affect our country's GDP. When everyone around you don't have money to spend, where the hell you think your boss will get the money to pay your salary?

The number of closing level of Dow
--Sept. 15, down 504.48 at 10,917.51.
-- Sept. 16, up 141.51 at 11,059.02.
-- Sept. 17, down 449.36 at 10,609.66.
-- Sept. 18, up 410.03 at 11,019.69.
-- Sept. 19, up 368.75 at 11,388.44.
-- Sept. 20, market closed (Saturday). (US treasury secretary, Henry Paulson introduced bailout plan)
-- Sept. 22, down 372.75 at 11,015.89.
-- Sept. 23, down 161.52 at 10,854.17.
-- Sept. 24, down 29.00 at 10,825.17.
-- Sept. 25, up 196.89 at 11, 022.06.
-- Sept. 26, up 121.07 at 11,143.13.
-- Sept. 29, down 777.68 at 10,365.45. (Congress reject bailout plan)
-- Sept. 30, up 485.21 at 10,850.66.
-- Oct. 1, down 19.59 at 10,831.07. (Senate approve bailout plan)
-- Oct. 2, down 348.23 at 10,482.84.
-- Oct. 3, down 157.46 at 10,325.38. (Congress approve bailout plan)
-- Oct. 6, down 369.88 at 9,955.50
-- Oct. 7, down 508.39 at 9,447.11.
-- Oct. 8, down 189.01 at 9258.10
-- Oct. 9, down 678.91 at 8579.19

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