Stock Market crashing?

Question

your opinion, is the current drop of 1000 for the DOW a symptom of failed Republican policy of the last few years or is it unavoidable and just part of a natural cycle? You must address the national debt and current Admin. policy

http://biz.yahoo.com/ap/070815/wall_street.html?.v=21

I should have added "please address"

http://www.morningstar.com/Cover/Markets.html?pgid=hetabmarket&lpos=NavBar

Answer 1

the stock market does flucuate and go up and down that is a natural thing. people take profit and others lose. I am not sure what policy would effect the stock market to go down. The President often takes credit and blame for the markets but they have little effect as they do not write any bills or send any to congress. The war should increase things as the government is spending more. That does increase the debt but that doesn't effect the average investor.

The people who really have an effect is the Fed, they refuse to raise rates to battle inflation but that also means our dollar isn't worth as much on the world market. The fed (not a goverment org as people think) hold the real power over the economy. It is a private bank and they run the economy not the president, although every administration takes credit for anything good