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Washington, DC – The Federal Reserve has ordered an emergency interest rate cut of a half a percentage point to cope with the worst financial crisis since the 1929 stock market crash. Other central banks, including the European Central Bank, the Bank of England and the Swiss, Canadian and Swedish banks also lowered rates by a half-point.
Today’s Points of Interest:
If you had purchased $1,000 of Delta Air Lines stock one year ago, you would have about $49 left.
With Fannie Mae, you would have roughly $2.50 left of the original $1,000.
With AIG, you would have less than $15 left. But, if you had purchased $1,000 worth
of beer one year ago, drunk all of the beer, then turned in the cans for the aluminum
recycling REFUND, you would have $214 cash.
This is only a sign of how bad the economy is, and how desperate the FED is, so this big rate cut concerns me, and it’s evident on Wall Street, the dow is down 295 points on the news.
There is a historical precedent that Democrat presidencies have just been better for the economy.
From 1953 to 2006, average real GDP growth was 4.2 percent under Democrats and 2.8 percent under Republicans, said Benedikt Germanier, chief currency strategist in the U.S. at UBS AG in Stamford, Connecticut.
Stock prices have also tended to perform better under Democrats. Since 1900, the Dow Industrials have climbed 13.3 percent annually under Democrats versus just 7.1 percent under Republicans, Germanier said.