do you understand what the problem in the stock market is?
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12-16-2012, 05:45 AM
Post: #2
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There are a number of issues which are impacting our stock markets. For the most part the stock markets respond and react to the potential for growth of businesses. Because we are entering a recession the potential for business growth is way down, and the stock markets follow. We are in a recession because the housing bubble, which for so long had grown our economy, creating housing and manufacturing jobs, has now burst. As the bubble bursts banks are holding on to their money, causing a freeze in credit (available cash). When business can't get credit to grow their business the stock markets react.
I hope that helps to explain what is really going on with the economy and the markets. I highly recommend you visit Truly Newsworthy (http://www.TrulyNewsworthy.com). It is a great source for news and information about the current financial crisis along with many other topics. Ads |
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do you understand what the problem in the stock market is? - bumper55706 - 12-16-2012, 05:37 AM
[] - Josh - 12-16-2012 05:45 AM
[] - Cape Horn Spirit - 12-16-2012, 05:45 AM
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