Dow at Lowest Level Since Clinton Administration
The economy hasn’t been this bad since the last time we had a Democrat in the White House.
Stocks are down sharply today and the Dow Jones industrial average fell below 7,000 for the first time since 1997 on signs of further turmoil among financial firms and a downbeat report from investment guru Warren Buffett.
I’m being mostly tongue-in-cheek, of course. But the post hoc ergo propter hoc game has been so popular over the last eight years that turning the tables has some therapeutic value.
Beyond that, it’s actually quite interesting that, despite what is uniformly considered the worst economic downtown in decades, including a collapse in the banking, insurance, housing, and automotive sectors, the Dow is just now falling to where it was during what’s uniformly considered “the Clinton boom. ”
And, yet, it’s half where it was in October 2007 during the administration of The Worst President Evuh.
Is the Dow just no longer a very good indicator of the economy?
Photo from Reuters Pictures.