Dow falls below 13,000 for the first time in two months

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Reba

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NEW YORK (CNNMoney) -- A sell-off on Wall Street gained momentum Wednesday, with the Dow falling below 13,000 for the first time in two months, as investors focused on how President Obama plans to avoid the fiscal cliff after he won re-election Tuesday night.

The Dow Jones industrial average fell more than 300 points, or 2.3%.

"This is purely a reaction to the political landscape and an investor response to the policies on the table -- all the new regulation that will add to the costs of doing business for certain industries and sectors" said Jack Ablin, chief investment office at Harris Private Bank. "Financials are getting hit the hardest, and energy isn't far behind."

But with the election behind them, investors are quickly moving on and turning to what Tuesday's results mean for the looming fiscal cliff, the market's biggest headwind, according to market strategists and money managers recently surveyed by CNNMoney.

"We have only have 10 legislative days to make something happen," said Ablin. "Obama has said he will reject any proposal that doesn't include tax hikes on the wealthy, so we see the same kind of contention that we saw during the debt ceiling battle that eventually led to a downgrade by Standard and Poor's."

If lawmakers fail to address the simultaneous onset of tax hikes and spending cuts that will be triggered on Jan. 1, they risk throwing the U.S. economy back into a recession and drive unemployment up even higher.

Fitch Rating said Wednesday that Obama needs to "quickly secure agreement on avoiding the fiscal cliff and raising the debt ceiling," and cautioned that failure to do so "would likely result in a rating downgrade in 2013." Fitch has so far maintained its AAA rating for the United States....
more at: Bank stocks push Dow below 13,000 - Nov. 7, 2012
 
Not surprised... More to come in the coming months...
 
The nation is evenly divided, hope the outcome would be positive for majority of us.

I'm not surprise Obama had been re-elected. And hopefully we are not on the route to Socialism but from what I see, its very possible and it SUCKS!

Other serious problems ahead, they got only 10 "Business" days to deal with Fiscal Cliff and that is not much time. If not, there will be massive mandatory budget cuts and jack up taxes on everybody on January 1st of 2013.
 
So far, the count is 117,978,472 people voted for Obama and Romney combined. That is out of a total U.S. population of 314,724,000. An estimated 76 million of them are children and cannot vote.

So that means that 238,724,000 are adults of voting age and 120,745,528 people did not vote.

So at best, only approximately half the US adult population voted. In other words, approximately 1/4 of eligible voters voted for Obama, and approximately 1/4 of eligible voters voted for Romney. 2/4 of eligible voters did not vote for either candidate.

Or to put it another way, 3/4 of eligible voters did NOT vote for Obama, and 3/4 of eligible voters did NOT vote for Romney.

How is that a country "evenly divided?" Not even close. It looks to me that both Republicans and Democrats might have trouble claiming any sort of "mandate from all the people."
 
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This proves the problem that we are having, your too focus on president alone. Right now, House of representative is now controlled by Republican, while Senate is now controlled by Democrats. They now are divided, which means if neither of them agree together, the bill will NEVER reach president's desk. Mind you, it requires BOTH House and Senate to agree on the bill that they wanted to become law. When that happens, what the heck can president do? Basically nothing, yet he gets blamed.

I'm concern about the capitol much much more than the White House.

Bottom line, I hope they get their acts together and deal the Fiscal Cliff that is coming up too close already. 10 days is all they got to fix the fiscal cliff issues, otherwise alot of working families and middle class are going to get slammed with higher taxes.

So far, the count is 117,978,472 people voted for Obama and Romney combined. That is out of a total U.S. population of 314,724,000. An estimated 76 million of them are children and cannot vote.

So that means that 238,724,000 are adults of voting age and 120,745,528 people did not vote.

So at best, only approximately half the US adult population voted. In other words, approximately 1/4 of eligible voters voted for Obama, and approximately 1/4 of eligible voters voted for Romney. 2/4 of eligible voters did not vote for either candidate.

Or to put it another way, 3/4 of eligible voters did NOT vote for Obama, and 3/4 of eligible voters did NOT vote for Romney.

How is that a country "evenly divided?" Not even close. It looks to me that both Republicans and Democrats might have trouble claiming any sort of "mandate from all the people."
 
This proves the problem that we are having, your too focus on president alone. Right now, House of representative is now controlled by Republican, while Senate is now controlled by Democrats. They now are divided, which means if neither of them agree together, the bill will NEVER reach president's desk. Mind you, it requires BOTH House and Senate to agree on the bill that they wanted to become law. When that happens, what the heck can president do? Basically nothing, yet he gets blamed.

I'm concern about the capitol much much more than the White House.
But the President can influence the actions of the House and Senate. He did it for Obamacare, did he not? Other Presidents of the past worked to bring about cooperation of the two parties. Reagan and Clinton, for example. Even though it is ultimately the job of the Congress, the President can either help it along, or just sit and do nothing.
 
This is true, hope this is going to happen. The chances still there that they won't happen.

But the President can influence the actions of the House and Senate. He did it for Obamacare, did he not? Other Presidents of the past worked to bring about cooperation of the two parties. Reagan and Clinton, for example. Even though it is ultimately the job of the Congress, the President can either help it along, or just sit and do nothing.
 
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