Floyd Norris: Investors Cry for More Intervention, but so Far in Vain

As Americans await the arrival of a new administration in Washington, investors are worrying whether the financial system is again in the danger zone.

With the stock market plunging and the credit market entering a new freeze, cries are being heard for a new government intervention to prop up major financial institutions before President-elect Barack Obama takes office.

“We can’t get from here to Feb. 1 if the current ”˜who’s in charge?’ situation continues,” said Robert Barbera, the chief economist of ITG, an investment firm, arguing that Congress should adopt a stimulus package, including temporary tax cuts, as rapidly as possible. Instead, he said, Washington seems paralyzed.

Read it all from the front page of this morning’s New York Times.

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Posted in * Economics, Politics, Economy, Politics in General, Stock Market, The Credit Freeze Crisis of Fall 2008/The Recession of 2007--

4 comments on “Floyd Norris: Investors Cry for More Intervention, but so Far in Vain

  1. Sarah1 says:

    RE: “Investors Cry for More Intervention”

    We are?

    Who?

    Where?

    The New York Times?

    Certainly not me. And I’m an investor.

  2. Sick & Tired of Nuance says:

    Cheerio and good hunting at the bottom Sarah! See you at the top [he said with a knowing grin]. I am already nibbling in anticipation. It’s like the ketchup commercial…it’s keeping me waiting. I am waiting for real capitulation and a real bottom to form, and then:

    “With cat like tread, Upon our prey we steal; In silence dread, Our cautious way we feel. No sound at all, We never speak a word,
    A fly’s foot-fall Would be distinctly heard – Tarantara, tarantara! So stealthily the pirate creeps, While all the household soundly sleeps!”

    There is a fortune to be made here.

  3. BlueOntario says:

    I think the bottom, let alone the top, is yet some time away.

  4. Sick & Tired of Nuance says:

    True, #3, true. That’s what I meant about ketchup…it’s keeping me waiting.