The Family Piggy Bank

sheri305
For Discussion: Wall Street Set To Plunge…Should We Be Worried??
August 8, 2011 at 11:54 AM

wall street standard & poor's

Wall Street is set to plunge at Monday's open after rating agency  Standard & Poor's cut the top-tier AAA credit rating of the United States, rattling already jittery investors. The agency's move came late Friday after a wild week for U.S. stocks - the worst in more than two years - as lingering concerns about sluggish economic growth and heavy public debt loads in developed economies dented investor sentiment.

U.S. stock index futures point to a decline of over 200 points on the Dow Jones industrial average at the start of trading Monday. Earlier, global stock markets sank again as worries about the downgrade of U.S. debt outweighed relief at a European Central Bank pledge to buy up Italian and Spanish bonds to help the two countries avoid devastating defaults.

European markets lost early momentum and most were trading sharply lower amid mounting fears over the opening of U.S. markets, when traders will have their first chance to respond to the U.S. debt downgrade.

Among the major markets, Japan's Nikkei 225 stock average closed down 2.2 percent at 9,097.56, while Hong Kong's Hang Seng fell the same rate to 20,490.50. South Korea's Kospi ended 3.8 percent lower as did China's main exchange in Shanghai.
MSCI's broadest index of Asia Pacific shares outside Japan fell 4.2 percent, taking its losses for the month so far to more than 12 percent.

"It's not Armageddon, but it feels like it," said Hong Kong-based analyst Francis Lun, adding that he foresees the territory's Hang Seng index to sink below 19,000 - a decline of a further 5 percent - before making any kind of comeback. Legendary investor Warren Buffett told CNBC Monday that there's no question that the U.S. debt is still AAA and that he is not changing his mind about Treasurys based on S&P's downgrade.
The dollar was lower against the yen and the euro. The U.S. dollar also hit a record low against the Swiss franc of 0.7485 centimes to the dollar - a drop of almost 30 percent from a year ago.
The price of oil pushed past $1,700 an ounce for the first time as investors sought shelter in assets traditionally viewed as safe havens in times of financial turmoil.

Replies

  • Dannille33
    August 8, 2011 at 3:49 PM

    Im worried, but I hope that they can figure out something..

    I'm just over all speechless!

  • sheri305
    August 8, 2011 at 4:44 PM

    Im not,just leave this whacky world in God's hand.

  • Joeygoat
    August 8, 2011 at 5:49 PM

    I feel the US economy should be run like any other business.  If you do not balance your business budget, you will go OUT of business.  This folly that DC is doing is going to hurt many, and I fear for the future of The United States of America.  I say to DC, clean house, get rid of all the multi-term politicians, go home and get a real job.  I am all for term limits, I don't think being a politician should be a career option. jmho

  • TheJerseyGirl
    August 8, 2011 at 6:53 PM

     We should all worry because even if you have no money invested, it eventually affects all of us!

    They just announced all interest rates are going up becauseof the way the market is falling!

  • JasonsMom2007
    August 10, 2011 at 12:57 AM
    I don't worry because my worry won't do anything to fix the problem. It's not worth the stress. I have enough problems I do have control over to worry about


    Quoting TheJerseyGirl:

     We should all worry because even if you have no money invested, it eventually affects all of us!


    They just announced all interest rates are going up becauseof the way the market is falling!


  • Liansmommie
    August 10, 2011 at 1:25 AM

    I think "worry" may just be semantics. It's important to be concerned enough to be educated on it. It does affect us all but something coming out of left field causes more damage.

    Quoting JasonsMom2007:

    I don't worry because my worry won't do anything to fix the problem. It's not worth the stress. I have enough problems I do have control over to worry about


    Quoting TheJerseyGirl:

     We should all worry because even if you have no money invested, it eventually affects all of us!


    They just announced all interest rates are going up becauseof the way the market is falling!



  • singlemomof2nok
    August 10, 2011 at 9:24 AM

     I am concerned

  • usmclife58
    August 10, 2011 at 11:42 AM

    I am a little worried, but not too bad. Not yet.

  • sweetmissy_05
    August 10, 2011 at 11:43 AM

    I am worried because this will affect everyone in our country but at the same time I have faith that things will work out......the thing about it is even thru everything something seems to work out....there's nothing any of us can do about it besides have faith and hope.  I still have a life to live and all I can do is make the most of it and try and be as happy as I can be. 

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