This is what panic looks like, said the editors of BusinessWeek.com. U.S. stocks were "whipsawed" on Friday, plunging in the morning, recovering, and sinking deeply later in the day. President Bush said the government was increasing deposit insurance, expanding loans to corporations, and pumping money into the banking system, but investors still fear worse is yet to come.
They might be right, said Mark Hulbert in MarketWatch. Typically, the markets don't hit bottom until a few influential financial analysts who are diehard buy-and-hold investors get rattled and decide it's time to sell and try to time the market. That hasn't happened yet.
Stocks won't hit bottom until real value investors start buying all at once, said Aaron Task in Yahoo Finance. Either that isn't happening or it's being canceled out by all the selling. Technical analyst John Roque of Natixis Bleichroeder says that might not happen until the Dow falls another 1,000 points.
THE WEEK'S AUDIOPHILE PODCASTS: LISTEN SMARTER
- It's official: The religious right is calling it quits
- 43 TV shows to watch in 2014
- Obama just kneecapped Jeb Bush and Chris Christie's 2016 prospects
- How science is accelerating our search for alien life
- 6 tiny scientific mistakes that created huge disasters
- The Hunger Games: Mockingjay — Part 1: 10 major differences between the book and the movie
- Inside Turkey's shadow war with ISIS
- The real story behind Deliver Us From Evil
- The dangerously childish morality of liberal ObamaCare supporters
- How to be the most productive person in your office — and still get home by 5:30 p.m.
Subscribe to the Week