Posted By RichC on September 16, 2008
The news for long term investors, home owner equity and equity oriented retirement plans is pretty ugly. Monday’s drop of 504 points of the Dow as continued news that financial companies in the U.S. are in serious trouble triggered by Lehman Brothers facing bankruptcy. Another company, AIG fell 49% on Tuesday morning and has brought the markets down again … the worst daily point plunge in the U.S. stock market since the first day of trading after the Sept. 11, 2001, attacks. In addition to AIG’s woes, the financial markets were rattled by the rushed sale Sunday of Merrill Lynch & Co. to Bank of America Corporation. Both presidential candidates are rushing to address this crisis, as answers and leadership will no doubt be the hinge-pin to victory in Novemeber.