The most devastating, criminal, traitorous, scheme in the history of American government (at least in the minds of Right Wingers/Teabaggers such as Sarah “I’m a White Grizzly Bear Momma” Palin, Micheal “The Only Good Negro President is a [Fill in the Blank] One!” Savage and Rush “We Shouldn’t Kill All the Liberals – Yet” Limbaugh) was upheld as constitutional by the US Supreme Court yesterday. So what effect did this devastating blow to our democracy have on the barometer of all things economic, i.e., the Stock Markets?
Stocks
Dow: 12,880.09 up 277.83 points for a +2.20% gain
Nasdaq: 2,935.05 up 85.56 points for a +3.00% gain
S&P 500: 1,362.16 up 33.12 points for a +2.49% gain
I guess investors just don’t see the infallible logic of the right that the health care reform law, i.e., the PPACA, will inevitably lead to tyranny, the end of Capitalism and the destruction of the American Way of Life. Must be sad day for Republicans and conservatives when even the markets refuse to follow the proper script.
Imagine the market gains that might have occurred with a single payer system. /snark
It’s settled and that helps a lot. The righties will be fuming for a long time over this.
I hope you are funning with this one, Steven D.
Those averages have very little to do with healthcare, even with the healthcare expenses of non-healthcare corporations.
If the usual rule of Wall Street worked it would be for negative events “sell on the rumor, buy on the news”. For positive events, “buy on the rumor, sell on the news”. That means that the rubes who buy and sell on the news will be your counterparties and make your profit. But to determine this, you would have to look at specific healthcare stocks.
For example, did health insurance stocks go up and healthcare provider stocks go down? What happened with medical supply stocks and medical equipment stocks.
And overall for the index stocks, 2.5% is pretty much a wash for such a hyped event.
Nothing to see here. Wall Street yawned.
the healthcare act is was already the law of the land. The ruling simply didn’t change that. So I wouldn’t expect wall street to react one way or another.
If it was struck down, though, I might have expected some chaos, as that would have been a change from the status quo.
As for why it rallied, it might simply be the normal gyrations we’ve been seeing for the last few years.
Like I said, 2.5% is a random walk.
Today’s jump is all about Merkel supposedly backing off from her austerity conditions for Euro bailout loans, and also giving in on allowing these loans to go directly to failing banks, and not just to state govts. The german people are not too impressed with Merkel right now.
They may not be, but 2/3 of the lower house of German Parliament voted for it, I think. So more than just Merkel’s party.
NY Times business section has an article on it, says health care providers went up (HCA 11% Tenet Healthcare 5%) but insurers “lost as much as 5 percent” [print edition]
I heard 8.5%, not 11% but that may have been before the market closed. It’s a huge jump for a day in any case.
No, it was the other way around. Insurance companies went down (anecdotal). Hospital stocks went up (ex. HCA +8.5%), “We’re gonna get paid!”. Pharma stocks went up (ex. AZN +3.49%),”We’re gonna sell more pills!”
Don’t know but I expect medical devices and equipment companies went up to.
Heck, my teatardist neighbor couldn’t even be bothered to put up a sign or change his bumperstickers in protest. This is one of the first times he’s missed a chance to participate in rightwing poutrage.
Hmm I thought drug company stock went down 4-5% yesterday? Wonder how that went.
I’m not sure what happened with the big pharma stocks, but hospital stocks went up. Insurance company stocks went down. The author of this article admonishes that yesterday’s numbers were basically knee-jerk responses to the ruling upholding Obamacare. What happens from here on out will be apparently complicated.
Sirota of course, reminded us to watch whose stocks go up to determine the real winner. So not insurance or big pharma. Ha.
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I read a day or two ahead of the decision announcement that insurance stocks were down in anticipation of the mandate being overruled. Here’s a WaPo story tracking the dip in health insurance stocks right when CNN and Fox were screwing up the decision, and then recovering in short order.
Of course, WaPo could just be full of it. I know I’ve been told by very authoritative figures that there’s no way the insurance industry is happy about ACA being upheld. Harrumph.
These comments remind me all over again that in my next life I want to be the person who decides why the stock market did what it did the day before. You can make up anything you want and nobody can ever prove you wrong.
I’m not saying that the ups and downs of hospital stock and insurance company stock and drug company stock weren’t actually influenced by the Supreme Court ruling. I’m just saying that it would be a great gig.
Can I be your intern? I’m very qualified (I was the statistical programmer for Medicare for Alabama for 10 years) and I promise not to complain about sexual harrasment … much.
Hey, the real Americans are the Scotch-Irish of Appalachia and they don’t like it, so that settles it.
They and all the others in America of Brit, but not Irish, ancestry so many of whom reply “American” when asked about their ethnicity.
They don’t like evolutionism, either. They prefer creationism and have since the start of the 20th Century, at the latest.
And they didn’t like booze. They loved the 18th Amendment.
And they hated those nasty immigrants, too, as much as they hated blacks: those Catholics, Jews, and Orthodox from the South and East of Europe, back when WASP Methodists and Presbyterians were the backbone of the Ku Klux Klan.
The other day Michael Moore in a short interview after a visit to The Last Word traced the fundamental polarization of American politics to the persistence and widespread influence of this same retarded subculture.
America’s worst enemies are the “real Americans” among us.
It’s been that way for a long time, now.
Reminds me of an admonition that I believe Jefferson and Adams discussed frequently in their correspondence in later life, the idea that every great civilization (or empire, not sure now) is carries from its founding the seed of its eventual destruction. They were pretty sure it was slavery that would do America in. I think maybe the real answer may prove to be religious fundamentalism.
Given the fundies’ profound hostility toward the very things we find so wonderful about modern civilization, I would say you are correct. Where they do hold significant political power, we can see the trappings of civilization decay.