Market Crash- It was the FED and Obama's Economy

[Geaux4it]

This chart at Zerohedge shows just how the market was indeed propped up by the FED. Without the FED, Obama's economy, which he said he would have on track in the first 4 years, would of made the US another Rome.

It appears the "Fed is ending QE because the economy is recovering" narrative is failing (as the world wakes up to the fact that The Fed is being forced to exit due to having broken the markets). In the September FOMC meeting, Yellen put the final nail in the QE coffin by confirming the money-printing would end in October. This is what has happened since then...





This Is What Happens Janet When You Take The Punchbowl Away Zero Hedge

 

[Mac1958]

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There has been a lot of "the stock market is the economy" going on here, and they know who they are.

The market was so far down, 6500 or whatever it was, that a big improvement was not exactly a huge accomplishment, especially with the massive influx of Fed money.

At a 20,000 foot level, the "recovery" has been terribly uneven, due to (1) the structural/psychological damage done in the Meltdown and (2) a clear anti-business footing by this administration, which has proven beyond a doubt that it is absolutely clueless about the psychological side of business and economies.

All that said, this recent downturn should just be the correction I've been babbling about for a couple of months. I'd like to see it get to around 12%, but there's too much cash on the sidelines ready to gobble up value. We'll see.

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[Geaux4it]

I've taken so far, ~4% haircut with 3.5% of that being house money. Then from ABC, we see that sales across the board for the most part are down. That's what happens when all the 'job' creations are part time and the labor participation rate paints the rest of the grim picture

-Geaux


Weaker Retail Sales Signal Smaller Spending Boost: Economy

Retail sales dropped more than forecast in September on a broad pullback in spending that indicates American consumers provided less of a boost for the economy in the third quarter.

Weaker Retail Sales Signal Smaller Spending Boost Economy - Bloomberg

U.S. retail sales retreated in September as purchases of autos, gasoline, furniture and clothing slowed, a sign that recent job gains have yet to significantly boost consumer spending.


US Retail Sales Fell in September on Autos and Gas - ABC News